729 sir francis drake blvd san anselmo, ca 94960 · san anselmo is recognized as one of the best...
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729 SIR FRANCIS DRAKE BLVDSAN ANSELMO, CA 94960
OFFERING MEMORANDUM
The information contained in the following offering memorandum is proprietary and strictly confidential. It is intended to be reviewed only by the party receiving it from Marcus & Millichap and it should not be made available to any other person or entity without the written consent of Marcus & Millichap. By taking possession of and reviewing the information contained herein the recipient agrees to hold and treat all such information in the strictest confidence. The recipient further agrees that recipient will not photocopy or duplicate any part of the offering memorandum. If you have no interest in the subject property at this time, please return this offering memorandum to Marcus & Millichap. This offering memorandum has been prepared to provide summary, unverified financial and physical information to prospective purchasers, and to establish only a preliminary level of interest in the subject property. The information contained herein is not a substitute for a thorough due diligence investigation. Marcus & Millichap has not made any investigation, and makes no warranty or representation with respect to the income or expenses for the subject property, the future projected financial performance of the property, the size and square footage of the property and improvements, the presence or absence of contaminating substances, PCBs or asbestos, the compliance with local, state and federal regulations, the physical condition of the improvements thereon, or the financial condition or business prospects of any tenant, or any tenant’s plans or intentions to continue its occupancy of the subject property. The information contained in this offering memorandum has been obtained from sources we believe to be reliable; however, Marcus & Millichap has not verified, and will not verify, any of the information contained herein, nor has Marcus & Millichap conducted any investigation regarding these matters and makes no warranty or representation whatsoever regarding the accuracy or completeness of the information provided. All potential buyers must take appropriate measures to verify all of the information set forth herein.
non-endorsement notice
marcus and millichap real estate investment services, inc. (“m&m”) is not affiliated with, sponsored by, or endorsed by any commercial tenant or lessee identified in this marketing package. the presence of any corporation’s logo or name is not intended to indicate or imply affiliation with, or sponsorship or endorsement by, said corporation of m&m, its affiliates of subsidiaries, or any agent, product, service, or commercial listing or m&m, and its solely included for the purpose of providing tenant lessee information about this listing to prospective customers.
all property showings are by appointment only. please contact agent for more details.
CONFIDENTIALITY AND DISCLAIMER
exclusively listedOFFICES NATIONWIDEwww.marcusmillichap.com
Investment Sales:Exclusively listed by:
exclusively l i stedErich ReichenbachFirst Vice President InvestmentsDirector, National Multi Housing GroupTel: (415) 625-2146Fax: (415) [email protected]
License CA: 01860626
55 Roque Moraes CourtMill Valley, CA 94941
Table of Contents
PROPERTY DESCRIPTIONInvestment Overview . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6Property Details . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8Aerial Photo . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9Local & Regional Maps . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10
FINANCIAL ANALYSISAnnualized Operating Data . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12Expenses . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12Tenant Summary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13
RECENT SALESRecent Sales Map . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15Recent Sales . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17-19
MARKET OVERVIEWMarin Economic Report . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22Market Highlights . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 23-24
summaryP R O P E R T Y D E S C R I P T I O N
EXECUTIVE SUMMARY 77 BULKLEY AVENUESAUSALITO, CA 94965
This information has been secured from sources we believe to be reliable, but we make no representations or 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. Any projections, opinions, assumptions or estimates used herein are for example purposes only and do not represent the current or future performance of the property. Marcus & Millichap Real Estate Investment Services is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2014 Marcus & Millichap ACT ID Z0020477
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PROPERTY DESCRIPTION
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W729 Sir Francis Drake Blvd
San Anselmo, CA 94960
Marcus & Millichap has been selected to exclusively market for sale 729 Sir Francis Drake
Blvd, San Anselmo, CA. This is a rare opportunity for an investor to own an excellent,
well-located office building in one of Marin County’s most attractive markets. This
investment offers a rarely available small commercial property in a vibrant centrally-located
neighborhood, with owner-user opportunities and significant upside potential.
729 Sir Francis Drake Blvd Avenue is centrally located in downtown San Anselmo.
This office building offers on-site parking and flexibility in floor plan layout. The property is
located within walking distance to many restaurants, coffee shops, post office and other
local services within the quaint downtown. The building is currently leased to San Anselmo
Animal Hospital, with the lease term running to October 2020. Current rents are below
market, providing rental upside at the end of the term or potential excellent owner-user
opportunities. The property is zoned C-L and permits medical use in addition to various
other uses from office to retail, buyer to verify with Town of San Anselmo. The zoning also
allows for development opportunities to build additional stories, buyer also to verify with
the Town of San Anselmo.
The subject property is located on a 4,704-square foot lot, with five off-street parking
spaces. The building enjoys prominent signage on this very busy street. 729 Sir Francis
Drake enjoys a traffic count of 42,421 daily.
Located in Marin County near the city of San Rafael and 20 miles north of San Francisco,
San Anselmo is a town that is well known for its charming downtown, tight-knit community
and its status as the Northern California Antiques Capital. Home to only 12,000 residents
and three major roads, this 2.7-square-mile town is small, but it is still considered one of
the best places to live in the area. San Anselmo is recognized as one of the best towns
in Marin County with an enviable lifestyle, a charming downtown, annual events, close
proximity to local attractions in San Francisco and the rest of the Bay Area.
Commercial investment opportunities of this size, location, and quality are rarely offered in
San Anselmo. As such, this property offers investors a compelling investment opportunity
in the most desirable neighborhood in Marin County.
�� Small, well-located office building in one of Marin’s most attractive markets
�� Building offers on-site parking and flexibility in floor plan layout
�� Currently 100% lease to established tenant, with two years remaining on lease
�� Property is zoned C-L and permits various uses from medical, office and retail
�� Excellent future potential owner-user opportunities
�� Compelling price point, attractive valuation, excellent financing options
Investment Overview
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PROPERTY DESCRIPTION
8This information has been secured from sources we believe to be reliable, but we make no representations or 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. Any projections, opinions, assumptions or estimates used herein are for example purposes only and do not represent Z0020477
729 Sir Francis Drake BlvdSan Anselmo, CA 94960
The Offering Property Address 729 Sir Francis Drake Blvd
San Anselmo, CA 94960
Site Description Year Built/Renovated 1908
Rentable Square Feet 1,350
Ownership Fee Simple
Lot Size 0.1 Acre(s)
Property Details
Financial HighlightsOffering Price $575,000
Price/SF $425.93
Net Rentable Area 1,350 SF
Current CAP Rate 4.98%
Current NOI $28,610
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PROPERTY DESCRIPTION
9This information has been secured from sources we believe to be reliable, but we make no representations or 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. Any projections, opinions, assumptions or estimates used herein are for example purposes only and do not represent the current or future performance of the property. Marcus & Millichap Real Estate Investment Services is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2014 Marcus & Millichap ACT ID Z0020477
729 Sir Francis Drake BlvdSan Anselmo, CA 94960
Subject Property 729 Sir Francis Drake Blvd
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PROPERTY DESCRIPTION
10This information has been secured from sources we believe to be reliable, but we make no representations or 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. Any projections, opinions, assumptions or estimates used herein are for example purposes only and do not represent the current or future performance of the property. Marcus & Millichap Real Estate Investment Services is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2014 Marcus & Millichap ACT ID Z0020477
729 Sir Francis Drake BlvdSan Anselmo, CA 94960
Local MapRegional Map
729 Sir Francis Drake Blvd
729 Sir Francis Drake Blvd
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analysisF I N A N C I A L A N A LY S I S
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FINANCIAL ANALYSIS
This information has been secured from sources we believe to be reliable, but we make no representations or 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. Any projections, opinions, assumptions or estimates used herein are for example purposes only and do not represent the current or future performance of the property. Marcus & Millichap Real Estate Investment Services is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2014 Marcus & Millichap ACT ID Z0020477
729 Sir Francis Drake BlvdSan Anselmo, CA 94960
Expenses
Current Pro Forma
CAM $1,575 $1,654
Insurance $1,200 $1,260
Real Estate Taxes $7,015 $7,015
Total Expenses $9,790 $9,929
Expenses/Suite $4,895 $4,964
Expenses/SF $7.25 $7.35
Summary
Price $575,000
Down Payment $575,000
Number of Suites 2
Price/Square Feet $425.93
Lot Size (SqFt) 0.1 Acres
Rentable Square Feet 1,350 SF
Approx. Year Built 1908
CAP Rate-Current 4.98%
CAP Rate-Pro Forma 5.16%
Annualized Operating Data
Income Current Pro Forma
Scheduled Base Rental Income $38,400 $39,600
Potential Gross Revenue $38,400 $39,600
Less: Operating Expenses 25.5% / $9,790 25.1% / $9,929
Net Operating Income $28,610 $29,671
Cash Flow $28,610 $29,671
Net Cash Flow After Debt Service 4.98% / $28,610 5.16% / $29,671
Total Return 4.98% / $28,610 5.16% / $29,671
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FINANCIAL ANALYSIS
This information has been secured from sources we believe to be reliable, but we make no representations or 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. Any projections, opinions, assumptions or estimates used herein are for example purposes only and do not represent the current or future performance of the property. Marcus & Millichap Real Estate Investment Services is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2014 Marcus & Millichap ACT ID Z0020477
729 Sir Francis Drake BlvdSan Anselmo, CA 94960
Tenant SummaryTenant Name Suite Square
Feet% Bldg
ShareLease Date
CommencedLease Date
ExpiredAnnual
Rent per Sq. Ft
Total Rent Per Month
Total Rent Per Year
Pro Forma Rent Per
Year
Changes On
Rent Increase
Lease Type
Tenant 1 1 1,350 100.0% 10/1/15 10/1/20 $28.44 $3,200 $38,400 $39,600 Dec-2019 $3,300 Modified Gross
Vacant 0 0 $0.00 0 0 0 0 N/A N/A
Total 1,350 $28.44 $3,200 $38,400 $39,00
salesR E C E N T S A L E S
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RECENT SALES
This information has been secured from sources we believe to be reliable, but we make no representations or 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. Any projections, opinions, assumptions or estimates used herein are for example purposes only and do not represent the current or future performance of the property. Marcus & Millichap Real Estate Investment Services is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2014 Marcus & Millichap ACT ID Z0020477
729 Sir Francis Drake BlvdSan Anselmo, CA 94960
Sales Comparables Map
• 729 Sir Francis Drake Blvd
1. 1118 Irwin St
2. 937 Sir Francis Drake Blvd
3. 870 College Ave
4. 6700 Sir Francis Drake Blvd
5. 312 Sir Francis Drake Blvd
6. 1620 Sir Francis Drake Blvd
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RECENT SALES
This information has been secured from sources we believe to be reliable, but we make no representations or 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. Any projections, opinions, assumptions or estimates used herein are for example purposes only and do not represent the current or future performance of the property. Marcus & Millichap Real Estate Investment Services is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2014 Marcus & Millichap ACT ID Z0020477
729 Sir Francis Drake BlvdSan Anselmo, CA 94960
SALES COMPARABLES
ON MARKET COMPARABLES
SALES COMPS AVG
ON MARKET COMPS AVG
Avg. 0.00%
Avg. 3 .94%
0.0
0.5
1.0
1.5
2.0
2.5
3.0
3.5
4.0
4.5
5.0
729 SirFrancis
Drake Blvd
1118Irwin S t
937 SirFrancisDrake
870 CollegeAve
6700 SirFrancis
Drake Blvd
312 SirFrancis
Drake Blvd
1620 SirFrancis
Drake Blvd
Average Cap Rate
Avg. $547.47Avg. $512.17
$0.00
$70.00
$140.00
$210.00
$280.00
$350.00
$420.00
$490.00
$560.00
$630.00
$700.00
729 SirFrancis
Drake Blvd
1118Irwin S t
937 SirFrancisDrake
870 CollegeAve
6700 SirFrancis
Drake Blvd
312 SirFrancis
Drake Blvd
1620 SirFrancis
Drake Blvd
Average Price Per Square Foot
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SALES COMPARABLES
This information has been secured from sources we believe to be reliable, but we make no representations or 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. Any projections, opinions, assumptions or estimates used herein are for example purposes only and do not represent the current or future performance of the property. Marcus & Millichap Real Estate Investment Services is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2014 Marcus & Millichap ACT ID Z0020477
729 Sir Francis Drake BlvdSan Anselmo, CA 94960
729 Sir Francis Drake BlvdSan Anselmo, CA 94960
Subject Property
Asking Price $575,000
Price/SF $425.93
CAP Rate 4.98%
Year Built 1908
Occupancy 100%
Parking Ratio 4:1
1
Close of Escrow: 1/26/2018
937 Sir Francis Drake BlvdKentfield, CA 94904
2
1118 Irvin StSan Rafael, CA 94901
Close of Escrow: 03/18/2018
Close of Escrow 7/25/2017
Days on Market 282
Sales Price $790,000
Rentable SF 1,443
Price/SF $547.47
Year Built 1922
On Market
List Price $1,500,000
Price/SF $433.28
Year Built 1943
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SALES COMPARABLES
This information has been secured from sources we believe to be reliable, but we make no representations or 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. Any projections, opinions, assumptions or estimates used herein are for example purposes only and do not represent the current or future performance of the property. Marcus & Millichap Real Estate Investment Services is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2014 Marcus & Millichap ACT ID Z0020477
729 Sir Francis Drake BlvdSan Anselmo, CA 94960
870 College AveKentfield, CA 94904
Subject Property
On Market
List Price $1,188,000
Rentable SF 1,904
Price/SF $623.95
Year Built 1935
Parking Ratio 1.33
Close of Escrow: 1/26/2018
312 Sir Francis Drake BlvdSan Anselmo, CA 94960
5
6700 Sir Francis Drake BlvdForest Knolls, CA 94933
Close of Escrow: 03/18/2018
On Market
Days on Market 172
List Price $1,350,000
Rentable SF 3,472
Price/SF $388.82
CAP Rate 3.94%
Year Built 1942
On Market
Days on Market 38
List Price $1,500,000
Rentable SF 2,993
Price/SF $501.17
Year Built 1942
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SALES COMPARABLES
This information has been secured from sources we believe to be reliable, but we make no representations or 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. Any projections, opinions, assumptions or estimates used herein are for example purposes only and do not represent the current or future performance of the property. Marcus & Millichap Real Estate Investment Services is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2014 Marcus & Millichap ACT ID Z0020477
729 Sir Francis Drake BlvdSan Anselmo, CA 94960
1620 Sir Francis Drake BlvdFairfax, CA 94930
Subject Property
On Market
Days on Market 120
List Price $945,000
Rentable SF 1,540
Price/SF $613.64
Year Built 1963
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overviewM A R K E T O V E R V I E W
MARKET OVERVIEW
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This information has been secured from sources we believe to be reliable, but we make no representations or 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. Any projections, opinions, assumptions or estimates used herein are for example purposes only and do not represent the current or future performance of the property. Marcus & Millichap Real Estate Investment Services is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2014 Marcus & Millichap ACT ID Z0020477
729 Sir Francis Drake BlvdSan Anselmo, CA 94960
EMPLOYER Number of Employees
Kaiser Permanente 1,972
BioMarin Pharmaceuticals 1,770
Marin General Hospital 1,204
Fireman’s Fund Insurance Company 1,220
Autodesk 900
Dominican University 405
Safeway Inc. 925
Comcast 682
Macy’s 418
Bradley Real Estate 440
Occupation Projected Year Estimated Projected Number Percent
Biomedical Engineers 2012-2022 540 910 370 68.5%
Economists 2012-2022 760 1,190 430 56.6%
Statisticians 2012-2022 450 680 210 46.7%
Personal Care Aids 2012-2022 26,760 39,260 12,500 46.7%
Logisticians 2012-2022 1,250 1,780 530 42.4%
Market Research and Marketing Specialists* 2012-2022 10,250 14,480 4,230 41.3%
Interpreters and Translators 2012-2022 860 1,210 350 40.7%
Pipelayers 2012-2022 120 170 50 41.7%
Physician Assistants 2012-2022 330 460 130 39.4%
Diagnostic Medical Sonographers 2012-2022 250 350 100 40.0%
TOP EMPLOYERS
NAICS Industry Percent of Employees
Marin County 21.19%
Retail Trade 14.78%
Health Care 13.27%
Accommodation and Food Service 10.27%
Professional, Scientific Technical 9.72%
Finance 8.59%
Administrative Support 8.04%
Construction 7.73%
Other Service 4.84%
Real Estate 4.02%
LEADING INDUSTRIES
OCCUPATIONS WITH FASTEST JOB GROWTH (Percent of Change)
Estimated Year Employment Employment Change
MARKET OVERVIEW
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This information has been secured from sources we believe to be reliable, but we make no representations or 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. Any projections, opinions, assumptions or estimates used herein are for example purposes only and do not represent the current or future performance of the property. Marcus & Millichap Real Estate Investment Services is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2014 Marcus & Millichap ACT ID Z0020477
729 Sir Francis Drake BlvdSan Anselmo, CA 94960
Marin County Profile
Located in the North Bay across the Golden Gate Bridge from San Francisco, Marin County is a dynamic community of 250,000 well-educated and involved residents. From its tidelands to the top of Mt. Tamalpais, Marin enjoys a high quality of life marked by beautiful beaches, groves of redwoods and oaks, rolling foothills, and scenic valleys. The mild, year-round Mediterranean climate is highlighted by cool, coastal fog tempering the warm inland temperatures of summer. Incorporated communities include Belvedere, Corte Madera, Fairfax, Larkspur, Mill Valley, Novato, Ross, San Anselmo, San Rafael (the County seat), Sausalito, and Tiburon.
Marin County is known for its combination of rural and suburban lifestyles. It is a recreation destination for the entire Bay Area - the Golden Gate National Recreation Area and Point Reyes National Seashore are just two destinations out of more than 140,000 acres of public lands within Marin. The County’s active economy includes insurance related (e.g., Fireman’s Fund), finance, movie and video production (e.g., Lucas Films), agriculture, bio-technology (e.g., BioMarin), computer software (e.g., Autodesk), communications equipment, printing, and tourism. Marin County children excel in school with test scores well above the average. The 19 school districts in Marin range in attendance from 20 to 8,000, the Marin Community College has two campuses (Kentfield and Novato) and
Economic Profile
Marin County had yet another strong economic year and is forecasted to continue to grow. As of August 2017, Marin County has a residential unemployment rate of 3.1 percent seasonally adjusted, among the lowest county rates in California. Marin County’s personal income level per capita remains the highest in California by almost $20,000 per person at approximately $96,000 per person. Marin County’s median household income level is topped only by San Francisco and San Mateo counties; Marin's households generate approximately $86,000 at the median as of 2015.
Employment growth continues in Marin County. As of August 2017, Marin County employers added more than 3,300 jobs since August of 2016. Marin County is estimated to have inflation-adjusted (real) gross county product (GCP) growth of approximately 0.8 percent since 2016, a sign that businesses are generating income but the cost of living is also increasing.
MARKET OVERVIEW
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This information has been secured from sources we believe to be reliable, but we make no representations or 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. Any projections, opinions, assumptions or estimates used herein are for example purposes only and do not represent the current or future performance of the property. Marcus & Millichap Real Estate Investment Services is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2014 Marcus & Millichap ACT ID Z0020477
729 Sir Francis Drake BlvdSan Anselmo, CA 94960
Real Estate and Financial Markets
Marin County housing prices continue to increase in the face of regional demand and low inventories. According to the California Association of REALTORS®, Marin County’s median home price for a single-family home was approximately $1.087 million in August 2017, up over 11 percent from 2016. With continued low interest rates, the threat of interest rates rising soon, and a continued lack of inventory across the Bay Area, Marin County is a microcosm of what remains a tight housing market with excess demand.
The short-term future of residential real estate prices depends on how interest rates adjust to any central banking decisions and global growth, but also to local supply conditions. Rental markets are in similar conditions to homes for purchase. A lack of inventory in rental housing also continues to support relatively high prices regionally. The longer-term depends on jobs and population growth and demographic shifts in demand for the housing stock available.
The placement of both new commercial and residential units in Marin County has continued to be a controversial subject for elected officials and local residents and employers. Issues of drought, traffic and other socioeconomic and environmental issues are part of all these local decisions.
Summary
The Marin County economy is expanding and at full employment, washing most of the Great Recession’s effects away. Local costs of living are outpacing the state and national inflation rates, housing and rental prices have increased due to both rising incomes and home prices, employment growth and new businesses are positive outcomes of this growing economy. Traffic, housing density and resource constraints are now more challenging.
Employment growth continues, mainly in service-oriented industries. More than 300 new payroll businesses started in Marin County in net. Personal income growth in Marin County is likely to be slower in real terms (inflation- adjusted) than in California overall, because growth is slowly moving toward lower-income areas of the state and inflation is rising more quickly in Marin County and the Bay Area. Marin County continues to have the highest, personal income per capita in the state of California.
In Marin County, commercial real estate vacancies continue to be filled, but not at the pace of San Francisco. San Francisco County is currently in a commercial real estate boom. In Marin County, office vacancies remain slightly above 9 percent, but demand is rising for larger spaces and tenants. Rents in Marin County have been slow to react; 2016 is a year when commercial rents began to rise more quickly since 2010.
2018 will be yet another year of slow economic growth. Like the California economy, Marin County’s income and employment and housing markets are all forecasted to grow, with the costs of rising goods and housing prices, higher traffic levels (hopefully alleviated by the SMART rail system starting in 2017), and continued concerns over social and environmental issues.
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Investment Sales:Exclusively listed by:Erich ReichenbachFirst Vice President InvestmentsDirector, National Multi Housing GroupTel: (415) 625-2146Fax: (415) [email protected]
License CA: 01860626
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