Investment Building in Downtown Hanford, CA

Highlights

Description

Value-add investment opportunity: Freestanding building totaling ±21,450 SF office/retail investment on ±0.25 Acres (±11,250 SF) of General, Professional, and/or Retail space off N Douty Ave. Offers (7) economical separate spaces on the bottom floor 100% leased to long-term tenants on Gross lease forms with an average size of 983 SF per unit. Value-add opportunity with actual rents of $84,804/year collected plus upside potential. Unique investment offering easy-to-rent small office spaces upstairs with the majority having existing water/drain lines in each room within an under-built market offering a strong need for these type of spaces.

Upon a full remodel estimated to total $625K ($10/SF for the ground floor & $60/SF for the upstairs), and all spaces being leased out to achieve 100% occupancy at the rents of $2/SF Full Service upstairs and $1.15/SF downstairs, the proforma "all-in project cost" of $2,250,000 produces a 10.77% CAP rate and 10.77% Cash-on-cash return, based on $675K placed as a down payment.

Fully vacant top floor consisting of (32) small easy-to-rent spaces. After leasing the vacancies, the realistic 6-12 month stabilized gross annual income is $290,041.32 (3.5x existing rent).

The value-add opportunity consists of leasing (32) vacancies, and charging the customary "pass-through" expenses of Water, Sewer, Trash, and Gardening to eliminate these items from the Landlords ledger. A new owner can renegotiate the Quesadilla Gorilla Lease to include the rear Patio area for equipment/other uses and basement for additional storage.

0

Located at the epicenter of downtown Hanford, on Douty Street just north of 7th street, south of 8th street, and east of Irwin Street. Central location surrounded with close proximity to many restaurants, services and many other amenities. Located on hard corner between Quesadilla Gorilla and Leonards Barber Salon, across the street from The Ivy Boutique and Dancers Edge, nearby quality tenants include Zaytoona, One Eleven Coffee, Hop Forged Brewing, El Tarasco, Casa Bella Furniture, Sherwin Williams Paint, Hola Cafecito, Fox Theater, Superior Dairy, Castaways Consignment, Caliva Dispensary, Salmon’s Furniture, Comfort Inn, Hanford Jewelry, Carnegie Museum, Wells Fargo, Bank of America, US Bank, BMO Bank, FAST Credit Union, Chase, West America Bank, US Bank, Bank of the Sierra, Starbucks, Dutch Brothers, and many more.

Documents

Units for Lease