One thing appears clear in the third quarter of 2023 from our tracking of commercial real estate activity in Grass Valley, Nevada City and Nevada County: barring a huge fourth quarter rebound (which I highly doubt will occur) sales volume has dramatically slowed versus that in 2022. As of the end of Q3 2023, sale dollar volume stands at only $15.5mm. This figure would need to triple in the fourth quarter alone to even begin to approach 2022’s dollar volume of $51mm.
While many factors affect the level of real estate activity, the primary contributor to our present
slowdown is high interest rates. Interest rates have climbed steadily this year to generally over 7%,
making it much more expensive to buy and finance a property. On the other side of the coin, property
seller expectations have been slow to adjust to the more expensive financing realities, thereby
increasing the differential between asking prices and bid prices resulting in far fewer sale transactions.
While not good news, property owners in Nevada County can take solace in the fact that the “new
normal” shift to remote work will create one of the most impactful property trends in decades causing
significant migration from major cities and downtowns to smaller cities, suburbs and rural areas such
the Sierra Foothills – a most positive long term prognosis!
| AVAILABLE FOR SALE - Q3 2023 | |||
|---|---|---|---|
| Location | Sq. Ft. | Price | Price/SF |
| Industrial | |||
| 12481 Charles Dr, Grass Valley | 34,950 | $4,785,000 | $136.91 |
| 12807 Loma Rica, Grass Valley | 9,800 | $1,500,000 | $153.06 |
| 174-178 Lower Grass Valley Rd, Nevada City | 8,590 | $1,249,000 | $145.40 |
| 110 Spring Hill Dr # 3 & 4, Grass Valley | 3,952 | $605,000 | $153.09 |
| 110 Spring HIll Dr # 1 & 2, Grass Valley | 5,500 | $795,000 | $144.55 |
| Office | |||
| 2344 & 2352 Nevada City Hwy, Grass Valley | 3,212 | $600,000 | $186.80 |
| 512 - 528 Brunswick Rd, Grass Valley | 6,164 | $725,000 | $117.62 |
| 563 Brunswick Rd # 8, Grass Valley | 1,158 | $119,359 | $103.07 |
| 563 Brunswick Rd # 2, Grass Valley | 1,151 | $199,000 | $172.89 |
| 565 Brunswick Rd # 15, Grass Valley | 1,554 | $265,000 | $170.53 |
| 424 Crown Point Cir, Grass Valley | 16,000 | $3,050,000 | $190.62 |
| 443 Crown Point Cir, Grass Valley | 15,264 | $2,500,000 | $163.78 |
| 194 Gold Flat Rd, Nevada City | 2,214 | $1,195,000 | $539.75 |
| 964 Golden Gate Ter, Grass Valley | 5,740 | $749,000 | $130.49 |
| 224 Main St, Nevada City | 4,670 | $1,225,000 | $262.31 |
| 406 - 412 E Main St, Grass Valley | 7,714 | $1,260,000 | $173.06 |
| 900 E Main St, Grass Valley | 23,137 | $3,395,000 | $146.73 |
| 204 W Main St & 215 Richardson St, Grass Valley | 12,000 | $1,375,000 | $114.58 |
| 819 Whispering Pines Ln, Grass Valley | 24,426 | $2,900,000 | $118.73 |
| Medical/Dental | |||
| 509 S Auburn St, Grass Valley | 1,429 | $435,000 | $304.41 |
| 152 Catherine Ln., Suite E & F, Grass Valley | 1,393 | $360,000 | $258.44 |
| 225 Colfax Ave, Grass Valley | 2,545 | $869,000 | $341.45 |
| 1061 E Main St # 104, Grass Valley | 1,813 | $265,000 | $146.17 |
| 700 Zion St, Nevada City | 12,000 | $2,020,000 | $168.33 |
| Retail | |||
| 800 S Auburn St, Grass Valley | 9,600 | $1,650,000 | $171.88 |
| 210 Broad St, Nevada City | 21,675 | $2,250,000 | $103.81 |
| 214 Broad St, Nevada City | 1,684 | $750,000 | $443.78 |
| 315 Broad St, Nevada City | 4,979 | $1,350,000 | $271.14 |
| 202 Colfax Ave, Grass Valley | 1,492 | $329,900 | $221.11 |
| 422 Henderson St, Grass Valley | 13,300 | $2,600,000 | $195.49 |
| 142 Idaho Maryland Rd, Grass Valley | 2,860 | $215,000 | $75.17 |
| 400 Idaho Maryland Rd, Grass Valley | 10,595 | $2,675,000 | $252.48 |
| 202 W Main St, Grass Valley | 1,650 | $475,000 | $287.88 |
| 615 Maltman Dr, Grass Valley | 3,185 | $1,600,000 | $502.35 |
| 163 Mill St, Grass Valley | 12,600 | $2,450,000 | $194.44 |
| AVAILABLE FOR LEASE Q3 2023 | |||
|---|---|---|---|
| Location | Sq. Ft. | Min Base Price/SF | Max Base Price/SF |
| Industrial | |||
| 12048 - 12050 Charles Dr, Grass Valley | 1,500 | $1.00 | $1.00 |
| 416 Crown Point Cir, Grass Valley | 8,000 | $0.75 | $0.75 |
| 12506 - 12534 Loma Rica Dr, Grass Valley | 1,750 | $1.00 | $1.00 |
| 155 Spring Hill Dr # 201, Grass Valley | 2,777 | $0.54 | $0.54 |
| 810 Whispering Pines Ln, Grass Valley | 5,097 | $1.25 | $1.25 |
| Office | |||
| 375 Brunswick Rd, Grass Valley | 5,798 | $1.28 | $1.28 |
| 464-458 Brunswick Rd, Grass Valley | 6,116 | $1.10 | |
| 512 - 528 Brunswick Rd, Grass Valley | 1,422 | $1.39 | $1.39 |
| 565 Brunswick Rd # 9, Grass Valley | 1,450 | $1.24 | $1.24 |
| 333 Crown Point Cir, Grass Valley | 6,463 | $1.55 | $1.55 |
| 345 Crown Point Cir, Grass Valley | 7,071 | $0.92 | $0.92 |
| 350 Crown Point Cir, Grass Valley | 5,737 | $1.55 | $1.55 |
| 360 Crown Point Cir, Grass Valley | 8,629 | $1.49 | $1.49 |
| 431 Crown Point Cir, Grass Valley | 5,471 | $0.85 | $0.85 |
| 443 Crown Point Cir, Grass Valley | 15,264 | $1.25 | |
| 149 Crown Point Ct, Grass Valley | 1,161 | $1.50 | $1.50 |
| 964 Golden Gate Ter, Grass Valley | 1,800 | $1.00 | $1.00 |
| 170 E Main St, Grass Valley | 1,247 | $1.76 | $1.76 |
| 1740 - 1744 E Main St, Grass Valley | 2,756 | $2.25 | $2.25 |
| 900 E Main St, Grass Valley | 7,700 | $1.84 | $1.90 |
| 970 E Main St, Grass Valley | 1,350 | $1.43 | $1.43 |
| 749 Maltman Dr, Grass Valley | 1,408 | $1.00 | $1.00 |
| 944 - 1020 McCourtney Rd, Grass Valley | 11,412 | $1.53 | $1.73 |
| 117 New Mohawk Rd, Nevada City | 7,807 | $1.35 | $1.35 |
| 138 New Mohawk Rd, Nevada City | 8,700 | $1.95 | $1.95 |
| 101 - 208 Providence Mine Rd, Nevada City | 18,694 | $1.60 | $1.60 |
| 310 Providence Mine Rd, Nevada City | 10,000 | $1.75 | $1.85 |
| 351 - 356 Providence Mine Rd, Nevada City | 1,736 | $1.78 | $1.78 |
| 400 Providence Mine Rd, Nevada City | 36,000 | $1.15 | $2.15 |
| 420 Sierra College Dr, Grass Valley | 1,750 | $2.20 | $2.20 |
| 841 - 857 Sutton Way, Grass Valley | 10,172 | $2.45 | $2.45 |
| 768 Taylorville Rd, Grass Valley | 1,220 | $1.10 | $1.10 |
| Medical/Dental | |||
| 402 S Auburn St, Grass Valley | 2,880 | $1.65 | $1.65 |
| 563 Brunswick Rd # 5, Grass Valley | 1,473 | $1.15 | $1.15 |
| 140 Litton Dr, Grass Valley | 2,034 | $1.96 | $2.26 |
| 300 Sierra College Dr #250, Grass Valley | 1,740 | $2.98 | $2.98 |
| 700 Zion St, Nevada City | 10,300 | $1.36 | |
| Retail | |||
| 114 Argall Way, Nevada City | 1,159 | $1.21 | $1.21 |
| 650 Freeman Ln, Grass Valley | 9,214 | $1.95 | $2.20 |
| 400 Idaho Maryland Rd, Grass Valley | 1,500 | $1.85 | $1.85 |
| 116 E Main St, Grass Valley | 900 | $1.72 | $1.72 |
| 840 E Main St, Grass Valley | 17,260 | $1.60 | $2.85 |
| 107 W Main St, Grass Valley | 1,020 | $1.00 | $1.00 |
| 116 W Main St, Grass Valley | 850 | $1.24 | $1.24 |
| 111 W McKnight Way, Grass Valley | 3,008 | $3.00 | $3.00 |
| 2032 - 2118 Nevada City Hwy, Grass Valley | 7,115 | $1.76 | $1.76 |
| 984 Plaza Dr, Grass Valley | 1,709 | $1.25 | $1.25 |
| 521 Searls Ave, Nevada City | 1,000 | $1.80 | $1.80 |
| 1245 Sutton Way, Grass Valley | 1,364 | $1.23 | $1.23 |
| 399-471 Sutton Way, Grass Valley | 1,402 | $1.40 | $1.40 |
| 526-720 Sutton Way, Grass Valley | 2,250 | $2.85 | $2.85 |
| 102 - 108 Union St, Nevada City | 1,843 | $2.00 |
| RECENT TRANSACTIONS - Q3 2023 | |||
|---|---|---|---|
| Location | Sq. Ft. | Sale/Lease | Close Date |
| 457 S Auburn St, Grass Valley | 2,124 | Sale | 7/10/2023 |
| 314 Railroad Ave, Grass Valley | 6,000 | Sale | 7/12/2023 |
| 140 Litton Dr, Grass Valley | 1,344 | Lease | 7/13/2023 |
| 972 Golden Gate Ter, Grass Valley | 4,864 | Sale | 8/21/2023 |
| 150 Catherine Ln., Suite F, Grass Valley | 994 | Sale | 8/21/2023 |
| 120 W Main St, Grass Valley | 1,632 | Sale | 8/25/2023 |
| 360 Sierra College Drive #220, Grass Valley | 803 | Lease | 9/1/2023 |
| 104 New Mohawk Rd, Nevada City | 26,336 | Sale | 9/8/2023 |
| 423 Broad St, Nevada City | 904 | Sale | 9/12/2023 |
| 143 Mill St #1/2, Grass Valley | 9,256 | Sale | 9/12/2023 |
| 142-158 Olympia Park Rd, Grass Valley | 9,593 | Sale | 9/14/2023 |
| 105 Catherine Ln, Grass Valley | 4,465 | Sale | 9/19/2023 |
