Commercial Real Estate Market in Bethlehem, PA
Updated monthly: sale, lease, property records, location trend, and more… · Last update: August 31
378 active listings and 2,732 off-market properties in Bethlehem, PA. Commercial property asks $162/SF to buy and $18.05/SF/Yr to lease.
Market Trends
Bethlehem, PA spans 58.1 square miles in Northampton County, Pennsylvania. Figures below refresh monthly; last updated 31 August 2026.
Office
Office space in Bethlehem, PA asks $15.10/SF/Yr to lease and $84/SF to buy. Vacancy runs 19.9% across the Northeast region in 2025, up from 13.1% in 2019.
Retail
Retail space in Bethlehem, PA asks $126/SF to buy. Vacancy runs 6% across the Northeast region in 2025, little changed from 6% in 2019. Down from a 2020 peak of 7.1%.
Average Sale Price $/SF
Listings
Vacancy Rate % in Northeast region
Industrial
Industrial vacancy in Bethlehem, PA runs 7.6% across the Northeast region in 2025, up from 5.4% in 2019. Nearly 2.4x the 2021 low of 3.2%.
Vacancy Rate % in Northeast region
Multifamily
Multifamily space in Bethlehem, PA asks $138/SF to buy. Vacancy runs 5.6% across the Northeast region in 2025, up from 4% in 2022.
Average Sale Price $/SF
Listings
Vacancy Rate % in Northeast region
Zoning & Land Use
Land Use Mix share of zoned land by category
- Residential 47.6%
- Industrial 21.4%
- Civic 19.3%
- Commercial 7%
- Mixed use 0.7%
Largest Zones share of zoned land by district
Institutional District
High Density Residential District
Rural Residential District
Single Family Residential District
Industrial District
Bethlehem, PA zones 12,425 acres across 23 districts. Commercial zoning covers 7% of zoned land, residential 47.6% and industrial 21.4%. The largest single district is Institutional District at 19.2%. For commercial buyers the practical constraint is that only 28.3% of land carries a commercial or industrial designation.
Institutional District (I)
ADDITIONAL REQUIREMENTS IN THE I-O INSTITUTIONAL OVERLAY DISTRICT 1312.01 Applicability. (a) The I-O Institutional Overlay District shall serve as an overlay district to the I Institutional District. The I-O District shall exist within land areas designated on the Zoning Map. Within the I-O District, all of the same regulations shall apply as apply within th…
Market overview
Demographics & Economy
Bethlehem, PA has 125,919 residents in 52,249 households. Density runs 2,166 people per square mile. Median household income here is $82,025 and median gross rent $1,398 a month.
125,919
Population
52,249
Households
2.4
Avg Household Size
40
Median Age
37%
College-Educated
92%
High-School Grad
58.1 sq mi
ZIP Area
2,166
Density / Sq Mi
$82,025
Median Household Income
$42,882
Median Earnings
$1,398
Median Rent
$276,742
Median Home Value
Tools
Lease vs Buy Breakeven
At $18.05/SF/Yr lease vs $162/SF buy → buying wins if held > 1.1 years.
At a 11.1% gross asking yield the payback reads short relative to leasing. Assumes 30% down at 6.5% fixed, 2% a year in taxes and upkeep, 3% appreciation, 5% opportunity cost, 2% closing plus 5% selling costs, and a 3% annual rent escalator.
Nearby Markets
| Market | Average Sale Price, $/SF | Average Lease Price, $/SF/Yr |
|---|---|---|
| Freemansburg | — | — |
| Fountain Hill | — | $12.00 |
| Hellertown | — | — |
| Lehigh Valley | — | — |
Commercial property in Bethlehem, PA asks $162/SF.
Frequently Asked Questions
What is the average price per square foot for commercial property in Bethlehem?
Commercial property in Bethlehem, PA asks an average of $162 per square foot. The 3 most recent recorded sales traded at a median of $161/SF, so asking sits 1% above the achieved median. Multifamily carries the highest asking price at $138/SF.
How much does it cost to lease commercial space in Bethlehem?
Asking lease rates in Bethlehem, PA average $18.05 per square foot per year. Office asks $15.10/SF/Yr as of Q1 26, up from $13.90/SF/Yr in Q3 25.
Is it cheaper to lease or buy commercial space in Bethlehem?
Buying beats leasing in Bethlehem, PA if the property is held longer than 1.1 years, comparing $18.05/SF/Yr asking rent with $162/SF asking price. The model assumes 30% down at 6.5% fixed, 2% of value per year in taxes and upkeep, 3% appreciation, 5% opportunity cost on the cash and a 3% annual rent escalator.
What zoning applies to commercial property in Bethlehem?
Bethlehem, PA zones 12,425 acres across 23 districts, of which 7% is commercial and 21.4% industrial. The largest single district is Institutional District at 19.2% of zoned land. ADDITIONAL REQUIREMENTS IN THE I-O INSTITUTIONAL OVERLAY DISTRICT 1312.01 Applicability. (a) The I-O Institutional Overlay District shall serve as an overlay district to the I Institutional District. The I-O District shall exist within land areas designated on the Zoning Map. Within the I-O District, all of the same regulations shall apply as apply within th… Residential zoning covers 47.6% and open space 0%.
Where does Realmo's Bethlehem market data come from?
Realmo compiles Bethlehem, PA figures from 6 recent recorded sales, 135 active sale listings, 243 active lease listings, 2,732 tracked off-market properties, the current Bethlehem zoning release. Sale and lease figures refresh monthly; vacancy annually. Last updated 31 August 2026.
Methodology & data sources
- Asking prices and averages
- Computed from 135 active for-sale and 243 active for-lease listings in Bethlehem, PA. These are ASKING figures from live listings, not closed-transaction prices, and a segment carried by a handful of listings reads as indicative rather than an average.
- Vacancy rates
- Published per-sector market series, taken at the metro level where one exists and otherwise at the Census-region level — a chart reading "in <region> region" is a regional number, not this city's.
- Zoning and land use
- The current municipal zoning release: 12,425 zoned acres across 23 districts. Shares are of zoned land, so parcels the release leaves unclassified are excluded from the mix.
- Refresh
- The monthly aggregates close at the end of the previous month, so 31 August 2026 — not today — is the honest last update.
- Known limitations
- office vacancy is reported at Northeast region level, retail vacancy is reported at Northeast region level and industrial vacancy is reported at Northeast region level.
- Coverage
- Metrics below the 10-observation threshold fall back one geographic level. The geography used is named on each figure.
Compiled by the Realmo Data team · reviewed 31 August 2026 · report a data issue
