Office-Warehouse Flex
For Sale
$995,000
426 WARREN STREET, Reading, PA 19601
Modern flex property with gated off-street parking and a warehouse offering large drive-through garage doors.
Property Size8,500 SF
Price / SF$117.06
Days on Market248
Property Features for 426 WARREN STREET
General Information
Standard status
Active
Size
8,500 SF
Property subtype
Office
Additional Details
Highway Access
Yes
Taxes and HOA fees
Annual Taxes
$14,500
Amenities
Central Air
3
Parking.
Fenced, Private, Lot, On Street.
0.00 x 0.00
Building Details
Year Built
1940
Stories
3
Listing Agency:
Atlas Land and Homes
(484) 222-0228
Listed By:
Israel Gonzalez · License #AB067693
(610) 914-6203
Source:
Xome
Added: Dec 31, 2025
Changed: Sep 2
Last Checked: Sep 4 at 2:18AM
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 Atlas Land and Homes
Investment Insights
Based on property information with market context.
426 Warren Street is a modern office-warehouse flex property combining a main office building with an attached warehouse. The warehouse includes large drive-through garage doors designed to allow vehicles to pull straight through, supporting warehouse-style operations, storage, and shop or work areas. The main building connects directly to the warehouse and features three levels of office space, with multiple private offices, workstations, meeting rooms, break rooms, and reception areas.
The property provides both gated off-street parking and nearby on-street parking. It offers easy access to Routes 422, 222, 61, and 12, with strong exposure from the Warren Street Bypass.
The overall configuration may support multi-tenant use, with potential for office, shop, warehouse, or other commercial applications.
The property provides both gated off-street parking and nearby on-street parking. It offers easy access to Routes 422, 222, 61, and 12, with strong exposure from the Warren Street Bypass.
The overall configuration may support multi-tenant use, with potential for office, shop, warehouse, or other commercial applications.
Key Highlights
- Commercial property with COMMERCIAL zoning, built in 1940, offering fenced parking and on‑street parking nearby
- Warehouse includes large drive‑through garage doors for vehicles to pull straight through for storage or warehouse‑style use
- Main building connects to the warehouse and features three levels of office space with private offices, workstations, meeting rooms, break rooms, and reception areas
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
$71,218
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
7.16%
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%
$1,424,360
$1.4M
Cap Rate 7%
$1,017,400
$1.0M
Cap Rate 9%
$791,311
$791.3K
Market Conditions
NOI Build-Up for 8,500 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
$110.2K $12.96/SF
− Vacancy
−$15.2K −$1.79/SF
EGI
$95.0K $11.17/SF
− OpEx
−$23.7K −$2.79/SF
NOI
$71.2K $8.38/SF
Area
Berks County, PA
Vacancy
13.80%
Lease Rate
$12.96 /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%
$1,424,360
Cap Rate 7%
$1,017,400
Cap Rate 9%
$791,311
Alternative Uses
Best Use
Office B
$1.02M
$890.2K – $1.19M
NOI $71,218 @ 7.0% cap · market cap 7.16%
Second Best
Warehouse
$860.3K
$752.8K – $1.00M
NOI $60,224 @ 7.0% cap · market cap 6.05%
Theoretical Best
Office A
$1.40M
$1.22M – $1.63M
NOI $97,675 @ 7.0% cap · market cap 9.82%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Yes
Highway access
Location Intelligence
Trade Area within ½ mile
347
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Demographics for 19601, PA
35,477
Population
14,024
Households
2.5
Avg Household Size
34
Median Age
12%
College-Educated
73%
High-School Grad
3.8 sq mi
ZIP Area
9,336
Density / Sq Mi
$41,133
Median Household Income
$30,433
Median Earnings
$986
Median Rent
$110,700
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?
Flex space - Modern flex property with gated off-street parking and a warehouse offering large drive-through garage doors.
Where is this flex space located?
The property is located at 426 WARREN STREET Reading, PA.
What is the asking price?
The asking price for this property is $995,000.
What are key features of this property?
This property features: Commercial property with COMMERCIAL zoning, built in 1940, offering fenced parking and on‑street parking nearby; Warehouse includes large drive‑through garage doors for vehicles to pull straight through for storage or warehouse‑style use; Main building connects to the warehouse and features three levels of office space with private offices, workstations, meeting rooms, break rooms, and reception areas
