Historic Mixed-Use
New
For Sale
$6,900,000
226-30 N 2ND ST, Philadelphia, PA 19106
Restored brick construction offers flexible open-floorplate space for office, retail, showroom, production, or hybrid use.
Property Size28,470 SF
Price / SF$242.36
Days on Market2
Property Features for 226-30 N 2ND ST
General Information
Standard status
Active
Size
28,470 SF
Zoning
CMX-3
Additional Details
Asking Price
$6,900,000
Building Details
Buildings
1
Construction
brick and beam
Owner Occupied
Yes
Listing Agency:
Compass Pennsylvania, LLC
(267) 435-8015
Listed By:
Michael D Phillips · License #RS327662
(267) 713-9616
Source:
Keygroupmd
Added: Sep 6
Last Checked: Sep 7 at 10:07AM
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 Compass Pennsylvania, LLC
Investment Insights
Based on property information with market context.
This ±28,470-square-foot historic brick building occupies a former power plant associated with the Wilbur Chocolate Factory. Restoration work has retained exposed brick, expansive windows, soaring ceilings, and open floor plates without interior load-bearing walls. The property includes a double-height event venue, professional photo studio, and basement space with 13-foot ceilings. More than 20,000 square feet of space is expected to be immediately usable at closing, while other suites carry short, flexible leases.
The building is located on North 2nd Street in Philadelphia’s Old City, surrounded by restaurants, galleries, boutiques, and transit corridors. Flexible CMX-3 zoning supports office, retail, showroom, production, and hybrid concepts. A restored 200-foot smokestack adds a distinctive architectural element and visible branding surface. The property’s configuration combines character-driven historic features with adaptable space for an owner-user or mixed-use operation.
The building is located on North 2nd Street in Philadelphia’s Old City, surrounded by restaurants, galleries, boutiques, and transit corridors. Flexible CMX-3 zoning supports office, retail, showroom, production, and hybrid concepts. A restored 200-foot smokestack adds a distinctive architectural element and visible branding surface. The property’s configuration combines character-driven historic features with adaptable space for an owner-user or mixed-use operation.
Key Highlights
- ±28,470 SF historic brick building with restored architectural features
- More than 20,000 SF (60%+) expected to be immediately usable at closing
- Open floor plates with zero interior load‑bearing walls
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
$374,652
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
5.43%
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%
$7,493,040
$7.5M
Cap Rate 7%
$5,352,171
$5.4M
Cap Rate 9%
$4,162,800
$4.2M
Market Conditions
NOI Build-Up for 28,470 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
$625.2K $21.96/SF
− Vacancy
−$125.7K −$4.41/SF
EGI
$499.5K $17.55/SF
− OpEx
−$124.9K −$4.39/SF
NOI
$374.7K $13.16/SF
Area
Philadelphia, PA
Vacancy
20.10%
Lease Rate
$21.96 /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%
$7,493,040
Cap Rate 7%
$5,352,171
Cap Rate 9%
$4,162,800
Alternative Uses
Best Use
Office B
$5.35M
$4.68M – $6.24M
NOI $374,652 @ 7.0% cap · market cap 5.43%
Second Best
Mixed Use
$4.83M
$4.23M – $5.64M
NOI $338,224 @ 7.0% cap · market cap 4.90%
Theoretical Best
Multifamily LT 5
$6.94M
$6.07M – $8.10M
NOI $485,838 @ 7.0% cap · market cap 7.04%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
13,449
Businesses Nearby
Explore this area
Business Placement
Demographics for 19106, PA
15,190
Population
9,913
Households
1.5
Avg Household Size
39
Median Age
80%
College-Educated
96%
High-School Grad
0.9 sq mi
ZIP Area
16,878
Density / Sq Mi
$129,779
Median Household Income
$93,953
Median Earnings
$2,219
Median Rent
$528,700
Median Home Value
Market
Vacancy Rate% for Office in Philadelphia, PA
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Mixed-use property - Restored brick construction offers flexible open-floorplate space for office, retail, showroom, production, or hybrid use.
Where is this mixed-use property located?
The property is located at 226-30 N 2ND ST Philadelphia, PA.
What is the asking price?
The asking price for this property is $6,900,000.
What are key features of this property?
This property features: ±28,470 SF historic brick building with restored architectural features; More than 20,000 SF (60%+) expected to be immediately usable at closing; Open floor plates with zero interior load‑bearing walls
