q2 | 2018 oakland submarkets retail overview · the juhu beach club, located at 5179 telegraph...
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Q2 | 2018 Oakland Submarkets Retail Overview
Oakland SubmarketsRetail Overview
Q2 | 2018
OAKLAND SUBMARKETSEXPERIENCE A
SLIGHT DECREASE INOCCUPANCY IN Q2
John Cumbelich & Associates’ second quarter survey of Oakland retail continues to portray a market with solid occupancy rates rivaling the East Bay’s premiere retail districts. Oakland’s top submarkets experienced a slight decrease in occu-pany, leaving new spaces available.
OCCUPANCY LEVELS
MONTCLAIR VILLAGEMontclair Village one of Oakland’s most
charming retail districts, experienced
a slight decrease in occupancy from
98.00% to 96.20%, offering new locations
for potential businesses. The Village’s
new redevelopment project located
at 2080 Mountain Blvd officially broke
ground in Q1 2018 and brought new re-
tail and office buildings to the area, sizing
at 2,000 SF, 1,125 SF, and 2,378 SF.
GRAND LAKEThe retail occupancy rate in Grand Lake
ended Q2 2018 at a 99.00%, decreasing
from the 99.85% occupancy rate in Q1
2018. Nevertheless, Grand Lake still re-
mains one of the top East Bay submarkets
over the past two years. While there is lit-
tle retail vacancy available in Grand Lake,
there is approximately 1,800 SF available
where Foot Locker was previously located,
adjacent to the popular restaurant Chipotle.
ROCKRIDGEThe Rockridge district, stretching along
College Ave between Alcatraz Ave and
Broadway showed a little increase, rising
to 97.5% this quarter from the 97.43%
occupancy in Q1 2018. There are few
availabilities in this area, ranging from
1,517 SF to 1,682 SF, to 5,856 SF. In par-
ticular, The Walking Company’s new va-
cancy presents a tenancy possibility for
a potential business.
90
91
92
93
94
95
96
97
98
99
100
Q2Q1Q4Q3Q2Q1Q4Q390
91
92
93
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95
96
97
98
99
100
Q2Q1Q4Q3Q2Q1Q4Q390
91
92
93
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95
96
97
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100
Q2Q1Q4Q3Q2Q1Q4Q3
99.8
5%
99.5
1%
97.4
8%
99.5
3%
98.2
7%
98.0
8%
99.8
5%
99.0
0%
99.4
0%
99.0
8%
97.3
5%
98.7
8%
98.2
3%
97.4
3%
97.4
3%
97.5
0%
98.14
%
98.14
%
98.3
5%
97.9
2%
98.8
0%
98.3
9%
98.0
0%
96.2
0%
Q2 | 2018 Oakland Submarkets Retail Overview
OAKLAND’S RETAIL DISTRICTSOakland’s premier retail districts, Rockridge, Grand Lake and Montclair Village, have a comparable inventory of retail space, 825,000 SF, to
Walnut Creek’s regional mall area. Yet these vibrant streets outperform Walnut Creek with occupancy rates over 98%, a total that is unsur-
passed by any other Bay Area submarket. A powerful mixture of residential density, incomes and growing job creation have pushed Oak-
land’s retail inventory to record occupancy and rent levels. High barriers to entry have constrained the development of new retail inventory,
helping to maintain both occupancy and rent levels.
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OAKLAND
580
880
980
580
RockridgeSize: 227,164 SF Occupancy Rate: 97.50% Average Rent: $36-$60 SF
Grand LakeSize: 326,313 SF Occupancy Rate: 99.00% Average Rent: $42-60 SF
Montclair VillageSize: 286,730 SF Occupancy Rate: 96.20%Average Rent: $36-65 SF
Rental rates are quoted
Q2 | 2018 Oakland Submarkets Retail Overview
$80
$70
$60
$50
$40
$30
$20
$0
Mon
tcla
ir V
illag
e
Roc
krid
ge
Gra
nd L
ake
Rental Rates*
*Rental rates are quoted
Oakland’s distinctive retail landscape is home to some of the Bay Area’s elite restaurants, shopping and entertainment venues. Urban in nature, but low-rise in scale, Oakland’s premier retail streets and shopping districts are the perfect cross between San Francisco’s urban towers and the sprawling, suburban centers of the East Bay. Stimulated by an influx of new residents, tech firms and employment in the post-recession recovery, Oakland’s retail real estate market has achieved historic occupancy levels and record rental rates in recent years.
Oakland has a dynamic retail market built on a mixture of both national retailers and local artisanal businesses. Composed of multiple unique shopping & dining districts, Oakland offers a blend of existing centers and new developments that provides consumers with a broad shopping experience.
■ Located at 2042 MacArthur Boulevard, Grand Lake Kitchen’s booming business has caused the restaurant to open another Kitchen in the Dimond District.
■ Nyum Bai, a Cambodian restaurant located at 3340 E 12th Street, has undergone construction and has expanded its staff.
■ Residents near Montclair Village created a list of goals to acquire for the Village: a few restaurants, locally-owned businesses such as a bakery, and a high-end gro-cery store.
■ The Juhu Beach Club, located at 5179 Telegraph Avenue, has officially been sold to new tenants, who remain unnamed for now.
■ The beginning of Q2 experienced more vacancies than usual, providing several pos-sibilities for new tenants and businesses to move into the area.
NEIGHBORHOOD SUMMARY
Q2 | 2018 Oakland Submarkets Retail Overview
Drinking tea makes life better.
In our retail sanctuaries,
people are nourished, energized, and revitalized.
500 - 1000 SF SAN FRANCISCO BAY AREA
FOR MORE INFORMATION CONTACT JOE KUVETAKIS
ABOUT THE FIRM
John Cumbelich & Associates is a San Francisco Bay Area firm that provides commercial real estate services to Fortune 500 retailers and select owners and developers of retail commer-cial properties. The firm’s expertise is in developing store net-works for retailers seeking to penetrate the Northern California marketplace, and the representation of premier power center and lifestyle developments.
1330 North Broadway, Suite 200A Walnut Creek, CA 94596 TEL 925.935.5400 www.cumbelich.com
RECENT TRANSACTION / LA MARCHA TAPAS BAR
La Marcha consummated a 2,950 SF, 10 year lease at
Montclair Village, Oakland, CA
The firm represented both the lessor, and the lesseein the transaction.
FOR MORE INFORMATION CONTACT JOHN CUMBELICH
FEATURED RETAILER / SAMOVAR TEA & CHAI
John CumbelichChief Executive [email protected] BRE ID 01006249
Tim SeilerPartner
[email protected] BRE ID 0107626
Joe KuvetakisAssociate Broker
[email protected] BRE ID 01854159
Chris MiccoAssociate Broker
[email protected] BRE ID 01393600
Brandon NortonAssociate Broker
[email protected] BRE ID 01985777
Trust. Experience.