Two-Unit Duplex
For Sale
$264,900
1388 PERKIOMEN AVENUE, Reading, PA 19602
Fully rented duplex with a two-bedroom lower unit and a four-bedroom upper residence.
Property Size2,425 SF
Price / SF$109.24
Days on Market10
Property Features for 1388 PERKIOMEN AVENUE
General Information
Standard status
Active
Size
2,425 SF
Property subtype
Duplex
Occupancy
100%
Units
Unit Mix
1 x 2BR, 1 x 4BR
Multifamily Units
2
Building Details
Year Built
1900
Buildings
1
Stories
3
Listing Agency:
Iron Valley Real Estate of Berks
(610) 780-3024
Listed By:
John H Gantkowski Jr.
(610) 780-3024
Source:
Cummingsrealtors
Added: Aug 23
Changed: Aug 30
Last Checked: Sep 1 at 4:55PM
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 Iron Valley Real Estate of Berks
Investment Insights
Based on property information with market context.
This two-unit duplex is fully rented and offers distinct residential layouts across the building. The first-floor unit includes two bedrooms, while the second unit is configured as a four-bedroom residence extending across the second and third floors.
Built in 1900, the property is located at 1388 Perkiomen Avenue in Reading, Pennsylvania. Its two-unit arrangement and existing occupancy provide a straightforward residential configuration for an owner evaluating a multifamily property.
Built in 1900, the property is located at 1388 Perkiomen Avenue in Reading, Pennsylvania. Its two-unit arrangement and existing occupancy provide a straightforward residential configuration for an owner evaluating a multifamily property.
Key Highlights
- Fully rented two‑unit residential building
- First‑floor unit with 2 bedrooms
- Upper unit includes 4 bedrooms across the 2nd and 3rd floors
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
$23,907
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
9.02%
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%
$478,140
$478.1K
Cap Rate 7%
$341,529
$341.5K
Cap Rate 9%
$265,633
$265.6K
Market Conditions
NOI Build-Up for 2,425 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
$35.5K $14.64/SF
− Vacancy
−$1.3K −$0.56/SF
EGI
$34.2K $14.08/SF
− OpEx
−$10.2K −$4.23/SF
NOI
$23.9K $9.86/SF
Area
Berks County, PA
Vacancy
3.80%
Lease Rate
$14.64 /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%
$478,140
Cap Rate 7%
$341,529
Cap Rate 9%
$265,633
Alternative Uses
Best Use
Multifamily LT 5
$341.5K
$298.8K – $398.5K
NOI $23,907 @ 7.0% cap · market cap 9.02%
Second Best
Apartment 5plus
$298.5K
$261.2K – $348.3K
NOI $20,896 @ 7.0% cap · market cap 7.89%
Theoretical Best
Office A
$398.1K
$348.3K – $464.4K
NOI $27,866 @ 7.0% cap · market cap 10.52%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
2
Residential units
100%
Occupancy
Location Intelligence
Trade Area within ½ mile
723
Businesses Nearby
Explore this area
Business Placement
Demographics for 19602, PA
19,782
Population
7,907
Households
2.5
Avg Household Size
32
Median Age
11%
College-Educated
71%
High-School Grad
2.0 sq mi
ZIP Area
9,891
Density / Sq Mi
$38,179
Median Household Income
$30,848
Median Earnings
$978
Median Rent
$73,000
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 - Fully rented duplex with a two-bedroom lower unit and a four-bedroom upper residence.
Where is this duplex located?
The property is located at 1388 PERKIOMEN AVENUE Reading, PA.
What is the asking price?
The asking price for this property is $264,900.
What are key features of this property?
This property features: Fully rented two‑unit residential building; First‑floor unit with 2 bedrooms; Upper unit includes 4 bedrooms across the 2nd and 3rd floors
