Mixed-Use Building with Two Retail
For Sale
$399,000
3 S MAIN STREET, Mercersburg, PA 17236
MULTI_FAMILY - Other - MERCERSBURG, PA
Property Size2,500 SF
Lot Size0.11 Acres
Price / SF$159.60
Days on Market47
Property Features for 3 S MAIN STREET
General Information
Property type
Residential Multi Family
Property subtype
Other
Parking features
On Street
Elementary school district
TUSCARORA
Middle school district
TUSCARORA
High school district
TUSCARORA
Standard status
Active
Size
2,500 SF
Lot size
0.11 Acres
Taxes and HOA fees
Tax Annual Amount
5744
Utilities
Heating system
Other (Heating)
Cooling system
Ductless
Building Details
Year built
1792
Number of units
4
Building materials
Log, Vinyl Siding
Architectural style
Other
Listing Agency:
Keller Williams of Central PA · Keller Williams Realty
(717) 761-4300
Listed By:
Lauren Gardner · License #RS365621
(717) 609-6059
Added: Jun 27
Last Checked: Aug 12 at 11:06AM
MLS# PAFL2035776
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 restored mixed-use property offers flexible income potential with two commercial spaces on the main and lower levels and two residential apartments on the upper level. The building is described as meticulously maintained, supporting both owner-occupant and tenant-oriented use cases. At approximately 2,500 square feet, the layout is designed to separate commercial and residential functions while keeping everything under one roof.
Located at 3 S Main Street in Mercersburg, PA, the property benefits from a Main Street setting with visibility for the street-facing commercial spaces. The configuration supports day-to-day customer access for retail or service tenants while allowing the residential units to operate above the commercial level.
For tenants, this building’s mixed setup can suit operators who want proximity to retail traffic and the convenience of on-site neighbors. For buyers, the combination of two commercial spaces and two apartments provides a straightforward structure for operating or leasing the property as a single asset, with both residential and commercial components already defined in the current layout.
Located at 3 S Main Street in Mercersburg, PA, the property benefits from a Main Street setting with visibility for the street-facing commercial spaces. The configuration supports day-to-day customer access for retail or service tenants while allowing the residential units to operate above the commercial level.
For tenants, this building’s mixed setup can suit operators who want proximity to retail traffic and the convenience of on-site neighbors. For buyers, the combination of two commercial spaces and two apartments provides a straightforward structure for operating or leasing the property as a single asset, with both residential and commercial components already defined in the current layout.
Key Highlights
- Mixed‑use property with two commercial spaces on the main/lower level and two residential apartments above
- Ductless cooling and Other (Heating) system
- Parking available on street
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
$24,750
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
6.20%
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%
$495,000
$495.0K
Cap Rate 7%
$353,571
$353.6K
Cap Rate 9%
$275,000
$275.0K
Market Conditions
NOI Build-Up for 2,500 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
$45.0K $18.00/SF
− Vacancy
−$5.4K −$2.16/SF
EGI
$39.6K $15.84/SF
− OpEx
−$14.9K −$5.94/SF
NOI
$24.8K $9.90/SF
Area
Franklin County, PA
Vacancy
12.00%
Lease Rate
$18.00 /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%
$495,000
Cap Rate 7%
$353,571
Cap Rate 9%
$275,000
Alternative Uses
Best Use
Mixed Use
$353.6K
$309.4K – $412.5K
NOI $24,750 @ 7.0% cap · market cap 6.20%
Second Best
Retail
$335.6K
$293.7K – $391.6K
NOI $23,494 @ 7.0% cap · market cap 5.89%
Theoretical Best
Office A
$606.2K
$530.4K – $707.2K
NOI $42,432 @ 7.0% cap · market cap 10.63%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
2
Office units
2
Residential units
Location Intelligence
Trade Area within ½ mile
152
Businesses Nearby
Explore this area
Business Placement
Demographics for 17236, PA
8,620
Population
3,741
Households
2.3
Avg Household Size
44
Median Age
21%
College-Educated
89%
High-School Grad
125.7 sq mi
ZIP Area
69
Density / Sq Mi
$81,074
Median Household Income
$42,283
Median Earnings
$986
Median Rent
$250,100
Median Home Value
Market
Vacancy Rate% for Retail in Northeast region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Mixed-use property - Restored mixed-use building with two commercial spaces and two residential apartments above, located on Main Street.
Where is this mixed-use property located?
The property is located at 3 S MAIN STREET Mercersburg, PA.
What is the asking price?
The asking price for this property is $399,000.
What are key features of this property?
This property features: Mixed‑use property with two commercial spaces on the main/lower level and two residential apartments above; Ductless cooling and Other (Heating) system; Parking available on street
