Duplex with Student Home
For Sale
$425,000
Pending
1355-1357 University Drive, State College, PA 16801
Two separately metered units offer hardwood floors, appliances, unfinished basements, and electric ceiling heat.
Property Size1,800 SF
Days on Market119
Property Features for 1355-1357 University Drive
General Information
Standard status
Pending
Size
1,800 SF
Property subtype
Multi-Family / Fee Simple
Zoning
R-2
Taxes and HOA fees
Annual Taxes
$5,415
Amenities
No
No Pool
Building Details
Year Built
1970
Listing Agency:
RE/MAX Centre Realty
(814) 280-2424
Listed By:
Ryan S Lowe · License #AB066402
(814) 280-2424
Source:
Compass
Added: May 5
Changed: Aug 29
Last Checked: Aug 29 at 9:05PM
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 Centre Realty
Investment Insights
Based on property information with market context.
This 1,800-square-foot duplex contains two residential units of approximately 900 sq. ft. each. Both layouts include a living room, kitchen with refrigerators and ranges, 2 bedrooms, 1 full bathroom, hardwood floors, and an unfinished basement for storage. Electric ceiling heat serves the units, which are separately metered with tenants responsible for utilities. Built in 1970, the property is zoned R-2.
The duplex is fully leased and includes established student home licenses and active rental permits. It is located in State College Borough near Penn State University, with direct access to the CATA bus route. The property address is 1355-1357 University Drive, State College, PA 16801.
The duplex is fully leased and includes established student home licenses and active rental permits. It is located in State College Borough near Penn State University, with direct access to the CATA bus route. The property address is 1355-1357 University Drive, State College, PA 16801.
Key Highlights
- Fully leased duplex with established student home licenses and active rental permits
- Two units, each approximately 900 sq. ft., with 2 bedrooms and 1 full bathroom
- 1,800 square feet total building area
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
$15,975
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
3.76%
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%
$319,500
$319.5K
Cap Rate 7%
$228,214
$228.2K
Cap Rate 9%
$177,500
$177.5K
Market Conditions
NOI Build-Up for 1,800 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
$24.4K $13.56/SF
− Vacancy
−$1.6K −$0.88/SF
EGI
$22.8K $12.68/SF
− OpEx
−$6.8K −$3.80/SF
NOI
$16.0K $8.88/SF
Area
Centre County, PA
Vacancy
6.50%
Lease Rate
$13.56 /SF/Yr
Expense Ratio
30.00%
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%
$319,500
Cap Rate 7%
$228,214
Cap Rate 9%
$177,500
Alternative Uses
Best Use
Multifamily LT 5
$228.2K
$199.7K – $266.3K
NOI $15,975 @ 7.0% cap · market cap 3.76%
Second Best
Apartment 5plus
$204.6K
$179.1K – $238.7K
NOI $14,324 @ 7.0% cap · market cap 3.37%
Theoretical Best
Office A
$397.5K
$347.9K – $463.8K
NOI $27,828 @ 7.0% cap · market cap 6.55%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Location Intelligence
Trade Area within ½ mile
611
Businesses Nearby
Explore this area
Business Placement
Demographics for 16801, PA
42,446
Population
19,242
Households
2.2
Avg Household Size
28
Median Age
67%
College-Educated
98%
High-School Grad
31.1 sq mi
ZIP Area
1,365
Density / Sq Mi
$62,821
Median Household Income
$27,598
Median Earnings
$1,221
Median Rent
$400,400
Median Home Value
Market
Vacancy Rate% for Multifamily in Northeast region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Duplex - Two separately metered units offer hardwood floors, appliances, unfinished basements, and electric ceiling heat.
Where is this duplex located?
The property is located at 1355-1357 University Drive State College, PA.
What is the asking price?
The asking price for this property is $425,000.
What are key features of this property?
This property features: Fully leased duplex with established student home licenses and active rental permits; Two units, each approximately 900 sq. ft., with 2 bedrooms and 1 full bathroom; 1,800 square feet total building area
