Two-Story Office
New
For Sale
$310,000
135 North 5th Street, Allentown, PA 18102
Downtown commercial property with separate utility meters, central air, and nine private parking spaces.
Property Size3,034 SF
Days on Market7
Property Features for 135 North 5th Street
General Information
Standard status
Active
Size
3,034 SF
Total Parking Spaces
9
Property subtype
Office
Additional Details
Utilities to Site
Yes
Taxes and HOA fees
Annual Taxes
$5,367
Amenities
kitchenette
central air
Building Details
Building Size
3,034 SF
Year Built
1865
Buildings
1
Stories
2
Listing Agency:
RE/MAX Real Estate
Listed By:
Howard C. Schaeffer · License #RS277208
(610) 770-9000
Source:
Bhhspaulfordrealtors
Added: Sep 10
Changed: Sep 12
Last Checked: Sep 15 at 8:33AM
Displayed information is deemed reliable but is not guaranteed and should be independently verified. All listing content including descriptions, pricing, images are the copyrighted material of RE/MAX Real Estate
Investment Insights
Based on property information with market context.
This 1865 two-story office building provides a professional layout across two separately metered floors. The first level includes a reception and waiting area, three private offices, open workspace, a kitchenette, and two powder rooms. The second floor adds two expansive work areas, five private offices, and two additional powder rooms. Central air serves the building, and nine private parking spaces are included.
The property is located at 135 North 5th Street in Allentown City, within walking distance of the Lehigh County Courthouse, Business Renaissance District, Symphony Hall, Allentown Art Museum, restaurants, the Arts Walk, and other local amenities. The second floor is currently used as a law office, while the configuration supports a range of office arrangements across the building.
The property is located at 135 North 5th Street in Allentown City, within walking distance of the Lehigh County Courthouse, Business Renaissance District, Symphony Hall, Allentown Art Museum, restaurants, the Arts Walk, and other local amenities. The second floor is currently used as a law office, while the configuration supports a range of office arrangements across the building.
Key Highlights
- Two‑story office building constructed in 1865
- First floor offers reception, waiting area, 3 private offices, open workspace, kitchenette, and 2 powder rooms
- Second floor includes 2 open work areas, 5 private offices, and 2 powder rooms
Financial Insights
Estimated NOI and Cap Rate
NOI = area × lease_rate × (100 − vacancy) / 100 × (1 − expense_ratio). Net Operating Income — what the owner takes home each year before mortgage payments and income tax. Effective rent (asking rent minus vacancy losses) minus operating costs (taxes, insurance, maintenance, management).
NOI / Yr
$16,471
Cap rate = NOI / list price × 100. Capitalization rate — annual return on a fully cash purchase, before financing. NOI divided by price. Higher means more income per dollar invested, but usually also more risk or older condition. 5–8% is typical for stabilized commercial property; double digits often signal distressed deals.
Cap Rate
5.31%
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$329,420
$329.4K
Cap Rate 7%
$235,300
$235.3K
Cap Rate 9%
$183,011
$183.0K
Market Conditions
NOI Build-Up for 3,034 SF
Vacancy — income lost from leasable area expected to sit empty during the year, subtracted from gross rent.
EGI (Effective Gross Income) — gross rent minus vacancy losses, the realistic income before paying operating costs.
OpEx (Operating Expenses) — recurring costs to operate the property (property tax, insurance, utilities, maintenance, management); excludes financing and capital improvements.
NOI (Net Operating Income) — income a property generates after operating costs but before financing and taxes.
Gross rent
$23.7K $7.80/SF
− Vacancy
−$1.7K −$0.56/SF
EGI
$22.0K $7.24/SF
− OpEx
−$5.5K −$1.81/SF
NOI
$16.5K $5.43/SF
Area
Allentown, PA
Vacancy
7.20%
Lease Rate
$7.80 /SF/Yr
Expense Ratio
25.00%
Simulate Cap Rate and NOI
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$329,420
Cap Rate 7%
$235,300
Cap Rate 9%
$183,011
Alternative Uses
Best Use
Office B
$235.3K
$205.9K – $274.5K
NOI $16,471 @ 7.0% cap · market cap 5.31%
Second Best
—
—
no second resolved use
Theoretical Best
Specialty Retail
$596.1K
$521.6K – $695.4K
NOI $41,724 @ 7.0% cap · market cap 13.46%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Open Analytics
Current Use
Lease Details
Yes
Utilities to site
Location Intelligence
Trade Area within ½ mile
3,315
Businesses Nearby
Explore this area
Business Placement
Demographics for 18102, PA
51,567
Population
18,788
Households
2.7
Avg Household Size
32
Median Age
11%
College-Educated
76%
High-School Grad
3.0 sq mi
ZIP Area
17,189
Density / Sq Mi
$40,681
Median Household Income
$29,501
Median Earnings
$1,224
Median Rent
$146,600
Median Home Value
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Cap Rate, Value Estimation, Potential NOI and more
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Market
Vacancy Rate% for Office in Northeast region
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Frequently Asked Questions
What type of property is this?
Office building - Downtown commercial property with separate utility meters, central air, and nine private parking spaces.
Where is this office building located?
The property is located at 135 North 5th Street Allentown, PA.
What is the asking price?
The asking price for this property is $310,000.
What are key features of this property?
This property features: Two‑story office building constructed in 1865; First floor offers reception, waiting area, 3 private offices, open workspace, kitchenette, and 2 powder rooms; Second floor includes 2 open work areas, 5 private offices, and 2 powder rooms
