Address: 1047-1053 Lincoln Avenue, San Jose, CA
Property Type: Retail/Office
Price: $2,325,000 ($230 psf)
Actual CAP Rate: 6.84% Year 1
I'm pleased to announce the closing of this retail/office leased investment property located in Willow Glen, a suburb of San Jose, CA. I represented a high net worth individual that was completing the "up-leg" (or replacement property) portion of his 1031 exchange. This particular buyer is actually someone who I've known for many years but never completed a transaction with until now. Over the years, he came to me for "free advice" and general questions on the market which I was happy to provide. This is a great example of why, as a commercial real estate broker, you should always be playing the long game and striving to build long-term relationships versus transaction based relationship. The markets will shift, interest rates may rise, and overall deal flow may soften, but if you're able to provide value to your clients in some form of fashion then you (as a broker) will always be in demand. This deal represented a rare leased investment opportunity in a highly desirable Willow Glen area of San Jose. The appraisal actually came in higher than the contract price! Definitely a huge win for my client and I look forward to many more "wins" like this in the coming year.