Whether you are a business owner renting office, industrial or retail space; or a landlord or investor considering buying commercial real estate, keeping tabs on market trends can help shed light on the strengths and/or weaknesses of your opponent’s hand and assist with decision-making that will likely have significant and long term financial implications.
Market trends represented by the graphs to the right include: 1) the amount of vacant space in all product types is either very low or declining. This is a reflection of the dramatic increase in supply-side costs in comparison to demand-side rents over roughly the past 10 years; and 2) as a result of the supply/demand imbalance mentioned above, commercial property values and rents are trending upwards across the board and will likely continue in this trajectory, barring another major recession, until such time as the reward of new construction becomes commensurate with the risk.
So what are the takeaways for both landlords and tenants? Landlords with existing buildings or investors looking to purchase commercial property in the near future should see attractive appreciation in the coming years (assuming the economy continues to grow or at least remain stable). Tenants, on the other hand, may want to consider signing longer-term leases to lock-in favorable rental rates and thereby
control one of, if not their largest, operating cost components.
| AVAILABLE FOR FOR SALE Q2 2019 | |||
|---|---|---|---|
| Location | Sq. Ft. | List Price | Price/SF |
| Industrial | |||
| 12257 - 12263 Loma Rica Dr, Grass Valley | 4,500 | $675,000 | $150.00 |
| 12509 Loma Rica Dr, Grass Valley | 1,524 | $116,608 | $76.51 |
| 174-178 Lower Grass Valley Rd, Nevada City | 8,320 | $1,249,000 | $150.12 |
| 310 Railroad Ave #300, Grass Valley | 2,736 | $399,000 | $145.83 |
| Office | |||
| 563 Brunswick Rd # 2, Grass Valley | 1,151 | $220,000 | $191.14 |
| 565 Brunswick Rd # 9, Grass Valley | 1,387 | $290,000 | $209.08 |
| 972 Golden Gate Ter, Grass Valley | 4,864 | $699,900 | $143.89 |
| 13421 Grass Valley Ave, Grass Valley | 13,136 | $1,480,000 | $112.67 |
| 901 La Barr Meadows Rd, D, Grass Valley | 932 | $125,000 | $134.12 |
| 104 New Mohawk Rd, Nevada City | 26,336 | $3,495,000 | $132.71 |
| 143 Spring Hill Dr Ste 1A, Grass Valley | 5,200 | $995,000 | $191.35 |
| 648 Zion St, Nevada City | 918 | $395,000 | $430.28 |
| Medical/Dental | |||
| 152 Catherine Ln., Suite E & F, Grass Valley | 1,393 | $225,000 | $161.52 |
| 411 Coyote St, Nevada City | 1,842 | $615,000 | $333.88 |
| 150 Glasson Way, Grass Valley | 6,462 | $990,000 | $153.20 |
| 1061 E Main St # 103, Grass Valley | 1,224 | $146,800 | $119.93 |
| 1061 E Main St # 201, Grass Valley | 1,137 | $179,000 | $157.43 |
| 105 Margaret Ln, Grass Valley | 2,460 | $399,000 | $162.20 |
| 300 Sierra College Dr #250, Grass Valley | 1,740 | $615,000 | $353.45 |
| 300 Sierra College Dr #165, Grass Valley | 4,787 | $1,450,000 | $302.90 |
| Retail | |||
| 210 Broad St, Nevada City | 21,675 | $2,275,000 | $104.96 |
| 231 - 233 Colfax Ave, Grass Valley | 4,440 | $1,200,000 | $270.27 |
| 131-139 Joerschke Dr, Grass Valley | 19,580 | $1,800,000 | $91.93 |
| 840 E Main St, Grass Valley | 28,706 | $5,450,000 | $189.86 |
| 206 W Main St, Grass Valley | 3,950 | $895,000 | $226.58 |
| 633 - 653 Maltman Dr, Grass Valley | 9,020 | $995,000 | $110.31 |
| 123 Mill St, Grass Valley | 1,485 | $897,500 | $604.38 |
| 345 Railroad Ave, Nevada City | 7,884 | $985,000 | $124.94 |
| 1125-1165 Sutton Way, Grass Valley | 24,539 | $3,500,000 | $142.63 |
| 102 - 108 Union St, Nevada City | 14,000 | $3,200,000 | $228.57 |
| 203 York St, Nevada City | 3,265 | $1,300,000 | $398.16 |
| AVAILABLE FOR FOR LEASE Q2 2019 | |||
|---|---|---|---|
| Location | Sq. Ft. | Min Base Price/SF | Max Base Price/SF |
| Industrial | |||
| 12048 - 12050 Charles Dr, Grass Valley | 4,600 | $0.94 | $0.95 |
| 140 E McKnight Way #142, Grass Valley | 1,250 | $0.58 | $0.58 |
| 545 Searls Ave, Nevada City | 9,500 | $2.85 | $3.35 |
| Office | |||
| 126 S Auburn St, Grass Valley | 5,100 | $0.65 | $0.65 |
| 131 S Auburn St, Grass Valley | 921 | $1.51 | $1.51 |
| 159 S Auburn St, Grass Valley | 2,242 | $1.12 | $1.12 |
| 375 Brunswick Rd, Grass Valley | 6,791 | $1.28 | $1.28 |
| 464-458 Brunswick Rd, Grass Valley | 4,970 | $1.58 | $1.88 |
| 512 - 528 Brunswick Rd, Grass Valley | 720 | $1.04 | $1.04 |
| 124 Clydesdale Ct, Grass Valley | 7,352 | $0.75 | $0.75 |
| 333 Crown Point Cir, Grass Valley | 10,241 | $1.70 | $1.70 |
| 350 Crown Point Cir, Grass Valley | 5,550 | $1.40 | $1.40 |
| 355 Crown Point Cir, Grass Valley | 12,000 | $0.60 | $0.60 |
| 360 Crown Point Cir, Grass Valley | 9,603 | $1.39 | $1.49 |
| 431 Crown Point Cir, Grass Valley | 11,100 | $0.85 | $0.85 |
| 488 Crown Point Cir, Grass Valley | 5,168 | $1.57 | $1.57 |
| 149 Crown Point Ct, Grass Valley | 728 | $1.50 | $1.50 |
| 13100 Grass Valley Ave & 12438 Loma Rica Drive, Grass Valley | 3,869 | $0.69 | $0.69 |
| 200 Litton Dr, Grass Valley | 3,000 | $1.40 | $1.40 |
| 640 E Main St, Grass Valley | 1,579 | $0.66 | $0.66 |
| 900 E Main St, Grass Valley | 7,700 | $1.63 | $2.09 |
| 944 - 1020 McCourtney Rd, Grass Valley | 5,639 | $1.68 | $1.68 |
| 101 - 106 Providence Mine Rd, Nevada City | 1,650 | $1.41 | $1.43 |
| 200 - 208 Providence Mine Rd, Nevada City | 13,529 | $1.47 | $1.48 |
| 351 Providence Mine Rd, Nevada City | 1,152 | $1.80 | $1.80 |
| 352 Providence Mine Rd, Nevada City | 1,530 | $1.60 | $1.60 |
| 353 Providence Mine Rd, Nevada City | 1,704 | $1.70 | $1.70 |
| 357 Providence Mine Rd, Nevada City | 1,800 | $1.75 | $1.75 |
| 400 Providence Mine Rd, Nevada City | 6,265 | $0.95 | $0.95 |
| 400 Providence Mine Rd, Nevada City | 72,110 | $0.95 | $0.95 |
| 400 Providence Mine Rd, Nevada City | 71,985 | $0.95 | $0.95 |
| 313 Railroad Ave, Nevada City | 1,469 | $1.35 | $1.35 |
| 360 Sierra College Dr, Grass Valley | 2,519 | $1.96 | $1.96 |
| 420 Sierra College Dr, Grass Valley | 1,750 | $2.20 | $2.20 |
| 143 Spring Hill Dr Ste 1A, Grass Valley | 5,082 | $1.23 | $1.23 |
| 165 Spring Hill Dr, Grass Valley | 2,500 | $1.00 | $1.00 |
| 1012 Sutton Way, Grass Valley | 3,200 | $1.87 | $1.87 |
| 1415 Whispering Pines Ln, Grass Valley | 8,009 | $1.60 | $1.60 |
| Medical/Dental | |||
| 470 S Auburn St, Grass Valley | 1,045 | $1.20 | $1.20 |
| 150 Glasson Way, Grass Valley | 5,720 | $1.55 | $1.55 |
| 105 Margaret Ln, Grass Valley | 1,100 | $1.30 | $1.30 |
| 123 Margaret Ln, Grass Valley | 1,200 | $1.30 | $1.30 |
| 404 Sierra College Dr, Grass Valley | 1,000 | $2.00 | $2.00 |
| Retail | |||
| 408 Broad St & 405 Commercial Street, Nevada City | 712 | $1.37 | $1.37 |
| 246 Commercial St & 204 N Pine St, Nevada City | 1,894 | $1.65 | $1.97 |
| 650 Freeman Ln, Grass Valley | 18,396 | $2.20 | $2.20 |
| 342 Idaho Maryland Rd, Grass Valley | 5,425 | $0.70 | $0.70 |
| 533-537 E Main St, Grass Valley | 10,000 | $1.20 | $1.20 |
| 840 E Main St, Grass Valley | 11,727 | $1.60 | $1.60 |
| 105 W Main St, Grass Valley | 4,000 | $0.75 | $0.75 |
| 633 - 653 Maltman Dr, Grass Valley | 8,175 | $1.01 | $1.45 |
| 671 Maltman Dr, Grass Valley | 1,660 | $1.20 | $1.20 |
| 11229 McCourtney Rd, Grass Valley | 2,000 | $1.50 | $1.50 |
| 111 W McKnight Way, Grass Valley | 10,284 | $2.06 | $2.06 |
| 2032 - 2118 Nevada City Hwy, Grass Valley | 12,469 | $1.76 | $1.76 |
| 984 Plaza Dr, Grass Valley | 5,500 | $1.35 | $1.35 |
| 521 Searls Ave, Nevada City | 6,250 | $2.00 | $2.00 |
| 1035-1043 Sutton Way, Grass Valley | 2,600 | $1.00 | $1.62 |
| 102 - 108 Union St, Nevada City | 1,873 | $1.65 | $1.65 |
| RECENT TRANSACTIONS Q2 2019 | |||
|---|---|---|---|
| Location | Sq. Ft. | Sale/Lease | Close Date |
| 900 E Main St, Grass Valley | 483 | Lease | 3/13/2019 |
| 355 Providence Mine Rd, Nevada City | 1,302 | Lease | 3/14/2019 |
| 146 Scandling Ave, Grass Valley | 2,180 | Sale | 4/2/2019 |
| 416 Crown Point Cir, Grass Valley | 8,000 | Lease | 4/15/2019 |
| 13100 Grass Valley Ave & 12438 Loma Rica Drive, Grass Valley | 5,441 | Lease | 4/15/2019 |
| 225 Colfax Ave, Grass Valley | 2,545 | Sale | 4/22/2019 |
| 11976 Charles Dr, Grass Valley | 2,550 | Sale | 4/29/2019 |
| 416 Crown Point Cir, Grass Valley | 11,666 | Lease | 5/1/2019 |
| 214 Broad St, Nevada City | 1,319 | Sale | 5/10/2019 |
| 216 Broad St, Nevada City | 1,231 | Sale | 5/22/2019 |
