For Sale: $2,995,000 Current Cap Rate: 6.74%

Investment Overview

Nestled in the Santa Cruz Mountains, Scotts Valley is just a 9 minute drive to downtown Santa Cruz and a 15 minute drive to Los Gatos. It's an incredible community for many reasons: low crime, business friendly city government, pro-development, exceptional schools and an overall serene, nice place to live and work. The state imposed housing requirement forces the city to build or approve the construction of 1,220 new housing units by 2028. That means the city will grow in population by 50% or more. This is a true in-fill area, with very limited buildable land, providing opportunities for business owners and real estate developers to serve the population with new services and more housing. There may be redevelopment potential and possible upzoning with this parcel, as well as an opportunity to convert the 2nd floor spaces to residential market rate apartments. There is significant upside potential in rents, as well the opportunity to sign a lease for 33% of the space with current ownership at market rates. For prospective owner/users of the space, there are flexible options with open floor plans and sub metered utilities.

SALE NOTES: (1) Seller is willing to sign a lease for all vacant space before COE. (11) Approx. 3,000 SF of Owner User space can be delivered upon COE.