Building Details

Buildings 2

Listing Agency: Continental Realty

Listed By: joseph tarantino · License #RM026271A Show Phone

Source: Crexi

Added: Aug 4, 2022 Changed: Aug 24 Last Checked: Sep 8 at 6:02AM

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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 Continental Realty

Investment Insights

Based on property information with market context.

This property presents an opportunity for a fabrication business specializing in custom wrought iron products. The property includes two buildings used for production, each equipped with bay doors large enough to accommodate trucks. The main building features a store/showroom, an office, a powder room, and a large shop area. The second building contains work rooms and a paint bay. The property includes almost an acre of land with a large gravel parking lot. The seller is willing to provide training for an agreed amount of time to a new owner.

Key Highlights

• Turnkey fabrication business specializing in custom wrought iron products.
• Two buildings with bay doors large enough for trucks.
• Includes store/showroom, office, powder room, large shop area, work rooms, and paint bay.

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

$36,708

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

4.89%

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%

$734,160 $734.2K

Cap Rate 7%

$524,400 $524.4K

Cap Rate 9%

$407,867 $407.9K

Market Conditions

NOI Build-Up for 5,000 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

$57.0K $11.40/SF

− Vacancy

−$4.6K −$0.91/SF

EGI

$52.4K $10.49/SF

− OpEx

−$15.7K −$3.15/SF

NOI

$36.7K $7.34/SF

Area

Chester County, PA

Vacancy

8.00%

Lease Rate

$11.40 /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%

$734,160

Cap Rate 7%

$524,400

Cap Rate 9%

$407,867

Alternative Uses

Best Use

Industrial

$524.4K

$458.9K – $611.8K (±1% cap)

NOI $36,708 @ 7.0% cap · market cap 4.89%

Second Best

—

—

no second resolved use

Theoretical Best

Office A

$1.52M

$1.33M – $1.77M (±1% cap)

NOI $106,116 @ 7.0% cap · market cap 14.15%

Zoning and permitted uses should be independently verified with authorities.

Property Analytics

Current Use

Manufacturing properties

Location Intelligence

Trade Area within ½ mile

91

Businesses Nearby

Explore this area Business Placement

Demographics for 19457, PA

103

Population

46

Households

2.2

Avg Household Size

54

Median Age

74%

High-School Grad

0.3 sq mi

ZIP Area

343

Density / Sq Mi

Market

Vacancy Rate% for Industrial in Northeast region

5.4% 2019

4.6% 2020

3.2% 2021

3.3% 2022

5.3% 2023

6.6% 2024

7.6% 2025

Questions? Ask Rey

Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.

What type of property is this? Where is this manufacturing properties located? What is the asking price? Find similar properties What are key features of this property?

Frequently Asked Questions

What type of property is this?

Manufacturing property - Turnkey fabrication business with two buildings and ample parking.

Where is this manufacturing property located?

The property is located at 2374 New Schuylkill Rd Parkerford, PA.

What is the asking price?

The asking price for this property is $750,000.

What are key features of this property?

This property features: Turnkey fabrication business specializing in custom wrought iron products.; Two buildings with bay doors large enough for trucks.; Includes store/showroom, office, powder room, large shop area, work rooms, and paint bay.