Mixed-Use Building with Commercial
New
For Sale
$1,025,000
205 E KING Street, Lancaster, PA 17602
MULTI_FAMILY - LANCASTER, PA
Property Size3,049 SF
Lot Size0.07 Acres
Price / SF$336.18
Days on Market3
Property Features for 205 E KING Street
General Information
Property type
Residential Multi Family
Property subtype
Other
Parking
2
Parking features
Garage - Attached, On Street
Subdivision
MUSSER PARK
High school
MCCASKEY CAMPUS
Elementary school district
SCHOOL DISTRICT OF LANCASTER
Middle school district
SCHOOL DISTRICT OF LANCASTER
High school district
SCHOOL DISTRICT OF LANCASTER
Standard status
Active
Size
3,049 SF
Lot size
0.07 Acres
Taxes and HOA fees
Tax Annual Amount
6403
Utilities
Heating system
Hot Water(Heating), Forced Air
Cooling system
Ductless
Building Details
Year built
1870
Number of units
4
Building materials
Brick
Listing Agency:
Lusk & Associates Sotheby's International Realty
(717) 291-9101
Listed By:
Anne M Lusk · License #RS210178L
(717) 271-9339
Added: Aug 18
Changed: Aug 19
Last Checked: Aug 20 at 10:06PM
MLS# PALA2093954
Copyright © 2026 Bright MLS. 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 3,049-square-foot mixed-use property combines four residential units with a first-floor commercial space. Built in 1870 with brick construction, the property includes a carriage house with a lower-level attached garage and an upper-level residence featuring a kitchen, bathroom, two-story living room, lofted sleeping area, and private deck. Additional residences include two one-bedroom, one-bath units and a home-style unit spanning the upper floors with two bedrooms and a full bath. A large backyard and shared patio add outdoor areas.
The property is located in downtown Lancaster near Central Market, the Fulton Theatre, the Ware Center, restaurants, coffee shops, bakeries, shopping, entertainment, and the courthouse. Heating includes hot water and forced air, while cooling is provided by ductless systems. Parking consists of an attached garage and on-street parking.
The property is located in downtown Lancaster near Central Market, the Fulton Theatre, the Ware Center, restaurants, coffee shops, bakeries, shopping, entertainment, and the courthouse. Heating includes hot water and forced air, while cooling is provided by ductless systems. Parking consists of an attached garage and on-street parking.
Key Highlights
- Four residential units plus first‑floor commercial space
- 3,049 square feet on a 0.07‑acre lot
- Brick construction dating to 1870
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
$37,869
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
3.69%
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%
$757,380
$757.4K
Cap Rate 7%
$540,986
$541.0K
Cap Rate 9%
$420,767
$420.8K
Market Conditions
NOI Build-Up for 3,049 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
$65.9K $21.60/SF
− Vacancy
−$5.3K −$1.73/SF
EGI
$60.6K $19.87/SF
− OpEx
−$22.7K −$7.45/SF
NOI
$37.9K $12.42/SF
Area
Lancaster County, PA
Vacancy
8.00%
Lease Rate
$21.60 /SF/Yr
Expense Ratio
37.50%
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%
$757,380
Cap Rate 7%
$540,986
Cap Rate 9%
$420,767
Alternative Uses
Best Use
Mixed Use
$541.0K
$473.4K – $631.2K
NOI $37,869 @ 7.0% cap · market cap 3.69%
Second Best
Retail
$512.6K
$448.5K – $598.0K
NOI $35,882 @ 7.0% cap · market cap 3.50%
Theoretical Best
Office A
$1.02M
$894.0K – $1.19M
NOI $71,522 @ 7.0% cap · market cap 6.98%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
4
Residential units
Multi-tenant
Tenancy
Location Intelligence
Trade Area within ½ mile
4,528
Businesses Nearby
Explore this area
Business Placement
Demographics for 17602, PA
52,665
Population
19,472
Households
2.7
Avg Household Size
37
Median Age
28%
College-Educated
83%
High-School Grad
24.6 sq mi
ZIP Area
2,141
Density / Sq Mi
$71,752
Median Household Income
$38,469
Median Earnings
$1,272
Median Rent
$250,600
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?
Mixed-use property - Four residential units accompany a first-floor commercial space in a brick downtown building.
Where is this mixed-use property located?
The property is located at 205 E KING Street Lancaster, PA.
What is the asking price?
The asking price for this property is $1,025,000.
What are key features of this property?
This property features: Four residential units plus first‑floor commercial space; 3,049 square feet on a 0.07‑acre lot; Brick construction dating to 1870
