SANTA CRUZ PROPERTY FOR SALE 1911-1919 Soquel Avenue and 108 Eastgate Avenue Santa Cruz, CA 95062 Price: $5,387,000 Building Size: 15,447sf Land Size: 50,962sf 100% Leased to Longtime Tenants The information contained herein has been secured from sources we believe reliable, but we make no warranties, expressed or implied, as to the accuracy of the information. References to square footage or age are approximate. Buyer must verify the information and bears all risk for any inaccuracies.
INVESTMENT SUMMARY Ow Commercial is pleased to present 1911, 1915, and 1919 Soquel Avenue, and 108 Eastgate Avenue in Santa Cruz for sale. The property features four separate parcels totaling approximately 50,962sf of Community Commercial (CC) zoned land and three separate buildings totaling approximately 15,447 square feet of space. SC Motors leases the 1,544 square foot building on 1911 Soquel Avenue, Santa Cruz Auto Parts leases the 4,800 square foot building primarily on 1915 Soquel Avenue and the 9,103 square foot building primarily on 1919 Soquel Avenue, and North Bay Ford leases the majority of the undeveloped 108 Eastgate Avenue parcel for extra parking. This is a rare opportunity for investors to acquire a prime Santa Cruz commercial property that is fully leased to seasoned tenants, with a strong and stable in place income stream; moreover, the size and location of the property on the busy Soquel Avenue corridor provide incredible future development potential. INVESTMENT HIGHLIGHTS Santa Cruz Investment Opportunity - Rare opportunity for investors to acquire an attractive, multi-tenant investment property in Santa Cruz with substantial upside. 100% Leased The property is 100% leased to established tenants on under-market, monthto-month leases. The existing tenants would like to continue their leases and estimated market rents would result in annual base rents of approximately $315,229/NNN. Income Property With Long Term Development Potential - The month-to-month lease structures allow the new owner to sign new long term leases with the existing tenants and enjoy a low maintenance, passive income investment, to reposition the property, or to keep the existing lease structures in place until a time when the new owner may want to redevelop the site; the City is slated to allow greater density development along Soquel Avenue. Rent Increases - The existing month-to-month leases allow for the owner to increase rents to keep up with inflation. Convenient Access The property is well located in mid-santa Cruz County, within close proximity to Highway 1, and features access from Soquel Avenue and Eastgate Avenue. Visibility - The property enjoys over 200 of prominent, at-grade, frontage on highly trafficked Soquel Avenue. Demographics Santa Cruz is an affluent coastal community. There is a population of 129,971 and an average household income of $91,152 within a 5 mile radius of the property.
PROPERTY DETAILS 1911 Soquel Avenue An approximately 1,544 square foot building (wood frame building on a concrete slab) on approximately 14,810 square feet of land (APN# 009-501-14). The building is leased to SC Motors, on a month-to-month basis, for approximately $2,873/month/NNN (tenant is responsible for paying for property tax, insurance, and common area maintenance). 1915 Soquel Avenue An approximately 4,800 square foot building (concrete block frame with two very large roll-up/drive in doors, on a concrete slab) on approximately 7,840 square feet of land (APN# 009-501-15). The building is leased to Santa Cruz Auto Parts, on a month-to-month basis, for approximately $5,238/month/NNN (tenant is responsible for paying for property tax, insurance, and common area maintenance). 1919 Soquel Avenue An approximately 9,103 square foot building (concrete block frame building, with one roll-up/drive-in door, on a concrete slab) on approximately 15,246 square feet of land (APN# 009-501-13). The building is leased to Santa Cruz Auto Parts, on a month-to-month basis, for approximately $9,941/month/NNN (tenant is responsible for paying for property tax, insurance, and common area maintenance). 108 Eastgate Avenue An approximately 13,066 square foot parcel of land (APN# 009-501-16). The property is leased to North Bay Ford, for use as an expansion of North Bay Ford s parking lot, for approximately $2,000/month/gross (Landlord is responsible for paying for property tax, insurance, and common area maintenance). Estimated market rents for the entire property are $315,229/year/NNN. This would equate to a 5.85% cap rate based on the $5,387,000 asking price.
DEMOGRAPHICS AND TRAFFIC COUNTS
AERIAL PHOTO The property enjoys a strategic mid-town location, with great visibility and access to customers along Soquel Avenue, a high traffic commercial thoroughfare in Santa Cruz, California. The property is surrounded by other national tenants such as Ford, Nissan, Volkswagen, Dodge/Ram, Walgreens, Dominican Hospital, Sutter Health, US Bank, Grocery Outlet, Safeway, Rite Aid, Whole Foods, 24 Hour Fitness, Big O Tires, AutoZone, and others.
PARCEL MAP
PROPERTY PHOTOS View of 1911 Soquel Avenue and 1915 Soquel Avenue from Soquel Avenue View of 1919 Soquel Avenue from Soquel Avenue
TENANT INFORMATION Since 1966, Santa Cruz Auto Parts has provided motorists in the Santa Cruz, Monterey, and San Jose CA 95062 areas with comprehensive auto parts and services that include Counter Services, Hoses, Batteries, Machine Shop, Paint Supplies & Services, Custom Paint Services, Paint Brands and Refurbishing Supplies. Santa Cruz Auto Parts offers the best auto parts and services available at affordable prices to get customers back on the road in no time. Santa Cruz Motors is a family owned and operated, used car sale business. The owners hand pick all of their car inventory and have a combined 75+ years of experience in the automobile business. Santa Cruz Motors strives to meet and exceed its customers automotive needs, in a no hassle customer friendly environment. North Bay Ford is a full service car dealership that offers a variety of new and used cars, car parts, car service, and financing. North Bay Ford was established in 1981 and has been under the same ownership since that time. North Bay Ford prides itself on offering the best quality cars and top notch service to its customers.
REGIONAL AERIAL
REGIONAL MAP The property is centrally located on a primary commercial thoroughfare (Soquel Avenue) in Santa Cruz County. Santa Cruz is a dynamic and inviting City that is a mere 32 miles away from San Jose, 47 miles away from Carmel, and 59 miles away from San Francisco; Santa Cruz benefits from positive economic growth within Santa Cruz County as well as the explosive growth of the Silicon Valley and the entire Bay Area.
SANTA CRUZ MARKET PROFILE CITY OF SANTA CRUZ Santa Cruz is an iconic beachside city located 59 miles south of San Francisco and 32 miles southwest of San Jose and Silicon Valley. Located at the northernmost end of the Monterey Bay, Santa Cruz is known for its recreational amenities, renowned university of California, Santa Cruz, and world famous wharf, beach, and Boardwalk, which attract over 3,500,000 visitors a year. The town is bordered by the ocean to the west and mountains to the east. The city occupies 12 square miles and has an estimated population of 62,864. However, during the school year that population increases by almost 10,500 because of university s student population. POPULATION, INCOME, AND EDUCATION Santa Cruz is the home to the University of California, Santa Cruz (UCSC) which has a current enrollment of nearly 18,000 undergraduate and graduate students, local alumni of over 13,000, and is the City s largest employer, with over 7,600 employees. The principal industries of Santa Cruz are agriculture, tourism, education, and technology. The City s largest employers are the University, followed by the County of Santa Cruz, the city government, and Plantronics. The unemployment rate in Santa Cruz is 6.7%, with job growth over the next 10 years predicted to be over 3%. Santa Cruz is home to a very strong and affluent housing market. Santa Cruz County has a median home price of $826,000. Located within close proximity to Silicon Valley, the city is projected to continue to grow and attract a diverse and wealth population.
SANTA CRUZ MARKET PROFILE REGIONAL TRANSPORTATION Highways 1 and 17 are the main roads into and out of Santa Cruz. The Santa Cruz Metropolitan transit District provides bus service throughout Santa Cruz County. Metro also operates bus service between Santa Cruz (city) and San Jose by way of a partnership with the Santa Clara Valley transportation authority and Amtrak California. Connections are possible in San Jose. Greyhound Lines bus service is another option for visiting Santa Cruz. The nearest airports served by major commercial airlines are San Jose international airport, Monterey Peninsula airport, San Francisco international airport, and Oakland international airport. The nearest public airport of any kind is Watsonville Municipal airport, about 15 miles to the southeast, which serves general aviation users. SANTA CRUZ BEACH BOARDWALK AND SANTA CRUZ TOURISM Santa Cruz offers a multitude of amenities and attractions, making it one of California s most popular tourism destinations. In fact, tourism ranks, alongside agriculture, as one of the top employers and revenue-producing industries in Santa Cruz County, generating over $500 million in direct travel expenditures annually. Santa Cruz is well-known for watersports such as sailing, diving, swimming, paddling, and is regarded as one of the best spots in the world for r surfing. The largest tourist attraction in Santa Cruz is its world famous wharf, beach, and Boardwalk, which attract over 3,500,000 visitors a year. Visitor dollars help to support Santa Cruz County by providing business and tax revenues which contribute to local employment, vast expanses of open space, beaches and parks, and small businesses which are largely locally owned. Tourism generates over $14 million in taxes for local government, which helps to pay for police and fire protection, road repairs, park maintenance and social services, social and health service programs, City and County resident/municipal services, and an array of cultural and performing arts.