605 Clay Avenue · Jeannette, PA 15644

📸 Photo Gallery

Inside the renovation, as the seller walked us through it: Bruce hardwood through the office lobby front and back, Carrera marble in the kitchens and bathrooms, green-and-cream octagon marble flooring, Juliet balconies across the second floor, a brand-new back kitchen plus a new bathroom and shower, and tuck-pointed masonry outside. That's his account of the work (see note 6) — the photos above show the finishes; every before-renovation shot from his package has been left out so you're seeing the building as it stands.

✨ Why This Deal Works⁶

Most "cash-flowing" buildings at this price come with a rehab bill, a vacancy, or a tenant problem attached. This one arrives finished, full, and paying.

• Fully Renovated Bruce hardwood lobby, new back kitchen, new bathroom and shower, and tuck-pointed masonry. Asked directly, the seller reports nothing left to repair — roof, electrical, plumbing or structural (see note 6).
• 100% Leased All three units occupied and paying rent right now. Income starts at closing; there is no lease-up period to survive.
• Solid Brick Construction Tuck-pointed masonry on an early-1900s build — the kind of structure that costs less to maintain and insures more easily than frame.
• Every Unit Separately Metered Three gas meters and four electric meters, so tenants pay their own utilities and sewer, water and trash are reimbursed. Your expense line stays small and predictable.
• Two Income Types, One Roof A ground-floor commercial office plus two apartments. If one side of the market softens, the other still pays — diversification inside a single building.
• Commercial Anchor Already in Place A real-estate brokerage on a three-year lease, two years in — a business tenant with every reason to renew where it sits.
• Private Off-Street Parking A 20-slot lot (10-car tandem) attached to a downtown block. Nearly impossible to find at this price point, and a genuine leasing advantage for every unit.
• Finish Level Rare at This Price Carrara marble kitchens and baths, Bruce hardwood floors, Juliet balconies. This rents at the top of its street rather than the bottom.
• Low Cost to Carry Property taxes run about $2,400 a year and insurance about $5,800, with tenants covering utilities — which is exactly why the cash flow holds up.
• Built-In Rent Upside The office is leased at roughly $9.70 per square foot on renovated space — below market. Renewal is an opportunity, not a risk.
• No Month-to-Month Exposure Every tenant is on a written lease with no handshake arrangements to unwind after closing.

💼 Deal Summary — The Investor Math²

🏢 Rent Roll — In Place

🧾 Income & Expenses (Owner Actuals)

🧾 Tax Advantages — Why Real Estate Beats a Savings Account Twice⁴

The Deal Meter above compares pre-tax returns. Real estate wins a second time on the tax side — interest from a savings account, CD, or money market is taxed as ordinary income with nothing to offset it, while an income property generates paper losses that can shelter the cash it pays you.

📍 Location — Jeannette, PA · Westmoreland County · Pittsburgh Metro⁵

📄 Documents — On Request

Rent roll · leases · P&L · title work · photos package. Text or email with the deal code CLAY605 and we'll send the file room same-day.

📑 Notes & Disclaimers

1. The Deal Meter. The inflation line is the real hurdle: anything below it is losing purchasing power every year, even when the balance goes up. Illustrative typical annual rates for comparison only — savings, CD, and money-market are interest-bearing products shown for reference, not recommendations or offers; stock market = long-run S&P 500 average; typical rental = average U.S. cap rate. This deal's figures are the in-place cap rate and financed cash-on-cash* from the math below. Verify everything independently. Not investment advice. Tax-advantages view: switching it on shows the year-one economic return with a cost-segregation study, and taxes every line on the same footing — savings, CD and money-market interest as ordinary income at the bracket you pick, the stock line at long-term capital-gains rates, the typical-rental line partially sheltered. For this deal it assumes land at 20% of price, 25% of the remaining building basis reclassified by a cost-segregation study into 5-, 7- and 15-year property and deducted in year one under current bonus-depreciation rules, the balance straight-lined 27.5-year residential / 39-year commercial by floor area, and on the financed line year-one mortgage interest deducted as well. The single biggest condition: it assumes you can actually USE the resulting loss. Under the passive-activity rules most investors cannot deduct rental losses against wages or portfolio income — the loss is suspended and carried forward until you have passive income or sell. Investors who qualify as real estate professionals, or who materially participate in a short-term rental, generally can. That single fact can be the whole difference between the toggled number and your reality. Also: the boost is year one only and does not repeat; a cost-segregation study itself costs roughly $3,000-$8,000; the accelerated depreciation is recaptured when you sell; state tax is ignored; brackets are marginal rather than effective; bonus-depreciation percentages have changed repeatedly and depend on your acquisition date; and the financed line leans on the mortgage-interest deduction, so the all-cash line is the cleaner comparison. This is an illustration at an assumed rate, not a computation of your taxes. Confirm every figure with your own CPA before relying on any of it.
2. Underwritten View. The headline numbers already carry an 8% off-site management fee ($4,080/yr) even though the building is currently self-managed — it is a real operating line, not a footnote. The underwritten view then applies a further 5% vacancy allowance on top even though the building is 100% occupied — and the deal still clears double-digit returns with both handicaps on.
3. Valuation basis. This deal is presented on its verified in-place income alone — no comparable-sale or "instant equity" claim is made. Underwrite it on the rent roll and the cap rate, and verify every figure independently before purchase.
4. Tax Treatment. This is general education, not tax advice. Depreciation schedules, bonus percentages, passive-activity limits, who may use a loss, mixed-use allocations between the commercial and residential portions, and 1031 timelines all depend on your situation and current law — and depreciation is recaptured when you sell. Run every number with your own CPA or tax attorney before relying on it. Mr Buyer is not a licensed tax, legal, or accounting advisor.
5. Local Rules in Jeannette. Jeannette has no landlord-licensing regime in force the 2025 proposal (Ord. 25-06) was tabled and never adopted, as was its commercial counterpart (25-07). What applies today is the codified rental ordinance (Ord. 15-04, amended 21-04 / 23-04): an occupancy inspection at $100 per unit, required before a new tenant moves in and at least every ten years for buildings of one to three units. That reaches the two residential apartments only the ground-floor commercial office falls outside the "dwelling unit" definition and runs on a separate track. The city already accepts an owner or a local owner's representative for inspection access, so no professional property-management company is required. Note the tabled ordinance could be revived by Council at any time; if it were, its own text names an "adult individual" as the local designee, not a management firm. Confirm current requirements and fees with Jeannette Code Enforcement, (724) 527-4000 ext. 20, before closing. Location snapshot — approximate figures for orientation; verify independently (see disclaimers).
6. Condition & Renovation Claims. Statements about the building's condition — including that the roof, electrical, plumbing and structure need no repair — are the seller's own account, given on a recorded call on 2026-08-21, and are reproduced here as his representation rather than as our verified finding. No replacement dates, permits, contractor names or transferable warranties exist on record for the roof or any building system; Jeannette maintains no online permit portal and the county assessment carries no year-built or roof data. The purchase agreement expressly states the seller does not warrant that prior work was permitted or performed to code. The roof is a flat, low-slope dark rubber membrane visible in the seller's own photograph; its age and remaining life are undocumented, and dated aerial imagery shows a dark flat roof present as early as 2020. Buyers should treat remaining roof life, system ages and permit status as open items and satisfy themselves by independent inspection before closing.