Renovated Mixed-Use
For Sale
$525,000
1977 S 5th Street, Allentown, PA 18103
ResidentialIncome, Allentown City, PA
Property Size2,540 SF
Lot Size0.28 Acres
Price / SF$206.69
Days on Market47
Property Features for 1977 S 5th Street
General Information
Property type
Residential Multi Family
Property subtype
Other
Zoning
B-3-HIGHWAY BUSINESS
Bedrooms
3
Bathrooms
3
Full bathrooms
3
Rooms
Bedroom 3, Bathroom 1, Bathroom 3, Bedroom 1, Bedroom 2, Bathroom 2
Parking features
Garage, On Street
Subdivision
Not in Development
Elementary school district
Allentown
Middle school district
Allentown
High school district
Allentown
Directions
US 22 E to 15th St, turn left on W Wyoming St and left onto Dixon St to S 5th St
Standard status
Active
APN
640651766245001
Size
2,540 SF
Lot size
0.28 Acres
Taxes and HOA fees
Tax Annual Amount
5851
Utilities
Sewer type
Public Sewer
Heating system
Oil
Cooling system
Central Air
Water source
Public
Building Details
Year built
1890
Floors in Building
3
Number of units
3
Building materials
Brick
Listing Agency:
Keller Williams Allentown · Keller Williams Realty
(610) 435-1800
Listed By:
Ayon A. Codner · License #RS324477
(610) 435-1800
Added: Jul 15
Changed: Aug 19
Last Checked: Aug 30 at 12:06PM
MLS# 780804
Copyright © 2026 Greater Lehigh Valley REALTORS. All rights reserved. All information provided by the listing agent/broker is deemed reliable but is not guaranteed and should be independently verified.
Investment Insights
Based on property information with market context.
This approximately 2,540-square-foot mixed-use building combines a professional office component with residential accommodations. The ground level is arranged for dental operations, with reception, treatment rooms, private offices, work areas, and dental equipment already in place. Upper levels contain residential space with full kitchens and bathrooms, including a three-bedroom apartment configuration and a one-bedroom studio. The building has undergone a full renovation.
Located on South 5th Street in Allentown City, the property provides access to W Emmaus Avenue, Route 145, Route 309, and Route 78. Construction is brick, with oil heating, central air, public water, and public sewer. Parking includes a garage and on-street options. The property is zoned B-3-HIGHWAY BUSINESS and is also available for lease.
Located on South 5th Street in Allentown City, the property provides access to W Emmaus Avenue, Route 145, Route 309, and Route 78. Construction is brick, with oil heating, central air, public water, and public sewer. Parking includes a garage and on-street options. The property is zoned B-3-HIGHWAY BUSINESS and is also available for lease.
Key Highlights
- Approximately 2,540 SF mixed‑use building on 0.276 acres
- Ground‑floor dental office with treatment rooms, private offices, work areas, and existing dental equipment
- Upper floors include a three‑bedroom apartment configuration and a one‑bedroom studio
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
$26,643
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
5.07%
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%
$532,860
$532.9K
Cap Rate 7%
$380,614
$380.6K
Cap Rate 9%
$296,033
$296.0K
Market Conditions
NOI Build-Up for 2,540 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
$41.1K $16.20/SF
− Vacancy
−$3.1K −$1.22/SF
EGI
$38.1K $14.99/SF
− OpEx
−$11.4K −$4.50/SF
NOI
$26.6K $10.49/SF
Area
Allentown, PA
Vacancy
7.50%
Lease Rate
$16.20 /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%
$532,860
Cap Rate 7%
$380,614
Cap Rate 9%
$296,033
Alternative Uses
Best Use
Multifamily LT 5
$380.6K
$333.0K – $444.1K
NOI $26,643 @ 7.0% cap · market cap 5.07%
Second Best
Mixed Use
$354.3K
$310.0K – $413.4K
NOI $24,803 @ 7.0% cap · market cap 4.72%
Theoretical Best
Specialty Retail
$499.0K
$436.6K – $582.2K
NOI $34,930 @ 7.0% cap · market cap 6.65%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
1
Office units
Yes
Highway access
Yes
Paved road access
Location Intelligence
Trade Area within ½ mile
410
Businesses Nearby
Explore this area
Business Placement
Demographics for 18103, PA
48,358
Population
19,769
Households
2.4
Avg Household Size
39
Median Age
28%
College-Educated
88%
High-School Grad
17.2 sq mi
ZIP Area
2,812
Density / Sq Mi
$72,545
Median Household Income
$38,377
Median Earnings
$1,333
Median Rent
$242,400
Median Home Value
Market
Vacancy Rate% for Office in Northeast region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Mixed-use property - Ground-level dental office improvements combine with residential units across the upper floors.
Where is this mixed-use property located?
The property is located at 1977 S 5th Street Allentown, PA.
What is the asking price?
The asking price for this property is $525,000.
What are key features of this property?
This property features: Approximately 2,540 SF mixed‑use building on 0.276 acres; Ground‑floor dental office with treatment rooms, private offices, work areas, and existing dental equipment; Upper floors include a three‑bedroom apartment configuration and a one‑bedroom studio
