Building Details

Year Built 1995

Buildings 1

Stories 1

Units 7

Tenancy Multi

Listing Agency: The James Balliet Property Group j***@kw.com Show Phone

Listed By: Douglas Sandlin · License #PA RS370319

Source: Crexi

Added: Nov 7, 2024 Changed: Aug 19 Last Checked: Aug 19 at 8:05PM

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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 The James Balliet Property Group

Investment Insights

Based on property information with market context.

This strip center is located approximately 5 minutes from I-78 and 7 minutes from downtown Fogelsville and Route 100. Situated in a residential area with new residential construction and townhomes nearby, the property is suitable for an owner-operator or 1031 Exchange buyer. The property has suites available for immediate occupancy. Current tenants include a pizza restaurant, a fitness consultant, and a nail salon, with a local market opening soon. The property size is 9400 square feet. An adjoining lot of approximately 2 acres is also available for sale.

Key Highlights

• Suites available for immediate occupancy.
• Located just 5 minutes from I‑78 and 7 minutes from downtown Fogelsville and Route 100.
• Located in a residential area with new construction nearby.

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

$64,065

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

4.93%

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%

$1,281,300 $1.3M

Cap Rate 7%

$915,214 $915.2K

Cap Rate 9%

$711,833 $711.8K

Market Conditions

NOI Build-Up for 9,400 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

$99.3K $10.56/SF

− Vacancy

−$7.7K −$0.82/SF

EGI

$91.5K $9.74/SF

− OpEx

−$27.5K −$2.92/SF

NOI

$64.1K $6.82/SF

Area

Lehigh County, PA

Vacancy

7.80%

Lease Rate

$10.56 /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%

$1,281,300

Cap Rate 7%

$915,214

Cap Rate 9%

$711,833

Alternative Uses

Best Use

Retail

$915.2K

$800.8K – $1.07M (±1% cap)

NOI $64,065 @ 7.0% cap · market cap 4.93%

Second Best

—

—

no second resolved use

Theoretical Best

Mixed Use

$1.38M

$1.21M – $1.61M (±1% cap)

NOI $96,761 @ 7.0% cap · market cap 7.44%

Zoning and permitted uses should be independently verified with authorities.

Property Analytics

Property Profile

Current Use

First Call Trading ... Big Box & Wholesale Store FedEx Drop Box Postal Service Giovanni's Pizza Restaurant

Suggested Use

Top Pick Building Supply Auto Parts Store Law Firm Nail Salon Kitchen & Bath Showroom Catering Service

Score = modeled unmet demand for each use within ~1 mi (higher = bigger opportunity). Zoning and permitted uses should be independently verified with local authorities.

Location Intelligence

Trade Area within ½ mile

38

Businesses Nearby

Explore this area Business Placement

Demographics for 18051, PA

3,343

Population

1,349

Households

2.5

Avg Household Size

46

Median Age

46%

College-Educated

97%

High-School Grad

8.0 sq mi

ZIP Area

418

Density / Sq Mi

$133,071

Median Household Income

$62,664

Median Earnings

$1,197

Median Rent

$443,700

Median Home Value

Market

Vacancy Rate% for Retail in Northeast region

6% 2019

7.1% 2020

6.5% 2021

6% 2022

5.7% 2023

5.6% 2024

6% 2025

Questions? Ask Rey

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

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Frequently Asked Questions

What type of property is this?

Strip mall - Strip center near I-78 and Route 100, suites available.

Where is this strip mall located?

The property is located at 2374 Seipstown Rd Fogelsville, PA.

What is the asking price?

The asking price for this property is $1,300,000.

What are key features of this property?

This property features: Suites available for immediate occupancy.; Located just 5 minutes from I‑78 and 7 minutes from downtown Fogelsville and Route 100.; Located in a residential area with new construction nearby.