Flex Space with Warehouse
For Sale
$1,200,000
Pending
5585 Macarthur Rd, Whitehall, PA 18052
Two-building property combines showroom, offices, warehouse areas, and two residential apartments.
Property Size8,300 SF
Lot Size2.00 Acres
Days on Market104
Property Features for 5585 Macarthur Rd
General Information
Standard status
Pending
Size
8,300 SF
Total Parking Spaces
20
Lot size
2.00 Acres
Zoning
Open Space Residential
Warehouse & Industrial
Clear Height
16 ft
Dock-High Doors
1
Additional Details
Road Access
Yes
Taxes and HOA fees
Annual Taxes
$14,472
Building Details
Buildings
2
Tenancy
Multi
Listing Agency:
BHHS Fox & Roach Macungie
(484) 519-4444
Listed By:
Peter J. Adams
(484) 519-4444
Source:
Exprealty
Added: Apr 28
Changed: Aug 9
Last Checked: Aug 9 at 2:58PM
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 BHHS Fox & Roach Macungie
Investment Insights
Based on property information with market context.
This flex property includes 8,300 SF across two buildings on a 2-acre site. The main building combines showroom space, business offices, and an approximately 1,000 SF warehouse area with mezzanine access, a large drive-in door, and a loading dock. Two separately metered apartments occupy the second floor, each offering a family room, eat-in kitchen, full bath, bedroom, and large walk-in closet.
A separate 2,400 SF warehouse provides two large work areas with 16-foot ceilings, a bathroom, and two oversized drive-in doors. The site includes 20 parking spaces, signage directly on MacArthur Road, and an on-lot septic system and well. Current Open Space Residential zoning is accompanied by an existing approved non-conforming use for retail, wholesale, related warehouse operations and storage, office use, contractor headquarters, and the residential apartments.
A separate 2,400 SF warehouse provides two large work areas with 16-foot ceilings, a bathroom, and two oversized drive-in doors. The site includes 20 parking spaces, signage directly on MacArthur Road, and an on-lot septic system and well. Current Open Space Residential zoning is accompanied by an existing approved non-conforming use for retail, wholesale, related warehouse operations and storage, office use, contractor headquarters, and the residential apartments.
Key Highlights
- 8,300 SF across two buildings on a 2‑acre property
- Separate 2,400 SF warehouse with two 16’ work areas and two oversize drive‑in doors
- Primary building includes showroom, offices, approximately 1,000 SF warehouse, mezzanine, drive‑in door, and loading dock
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
$75,129
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
6.26%
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%
$1,502,580
$1.5M
Cap Rate 7%
$1,073,271
$1.1M
Cap Rate 9%
$834,767
$834.8K
Market Conditions
NOI Build-Up for 8,300 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
$95.5K $11.50/SF
− Vacancy
−$7.1K −$0.85/SF
EGI
$88.4K $10.65/SF
− OpEx
−$13.3K −$1.60/SF
NOI
$75.1K $9.05/SF
Area
Lehigh County, PA
Vacancy
7.40%
Lease Rate
$11.50 /SF/Yr
Expense Ratio
15.00%
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%
$1,502,580
Cap Rate 7%
$1,073,271
Cap Rate 9%
$834,767
Alternative Uses
Best Use
Warehouse
$1.07M
$939.1K – $1.25M
NOI $75,129 @ 7.0% cap · market cap 6.26%
Second Best
Industrial
$883.9K
$773.4K – $1.03M
NOI $61,871 @ 7.0% cap · market cap 5.16%
Theoretical Best
Mixed Use
$1.22M
$1.07M – $1.42M
NOI $85,438 @ 7.0% cap · market cap 7.12%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Lease Details
16 ft
Clear height
1
Dock-high doors
Multi-tenant
Tenancy
Yes
Paved road access
Location Intelligence
Trade Area within ½ mile
33
Businesses Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Demographics for 18052, PA
29,317
Population
12,193
Households
2.4
Avg Household Size
42
Median Age
27%
College-Educated
92%
High-School Grad
12.8 sq mi
ZIP Area
2,290
Density / Sq Mi
$69,499
Median Household Income
$39,491
Median Earnings
$1,387
Median Rent
$247,100
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 - Two-building property combines showroom, offices, warehouse areas, and two residential apartments.
Where is this flex space located?
The property is located at 5585 Macarthur Rd Whitehall, PA.
What is the asking price?
The asking price for this property is $1,200,000.
What are key features of this property?
This property features: 8,300 SF across two buildings on a 2‑acre property; Separate 2,400 SF warehouse with two 16’ work areas and two oversize drive‑in doors; Primary building includes showroom, offices, approximately 1,000 SF warehouse, mezzanine, drive‑in door, and loading dock
