Investment Highlights
- Single Tenant Medical – Rare AAA Credit Lease
- 100% Leased to the County of San Mateo
- No Medical Office Competition in a Five Mile Radius
- Irreplaceable Location in the Seaside Community of Half Moon Bay
- 29 Miles from San Francisco and 41 Miles from San Jose
Offering Summary
| Price | $9,200,000 |
| Down Payment | (100%) $9,200,000 |
| Rentable SF | 15,335 |
| Price Per Rentable SF | $599.93 |
| Year Built | 1980 / 2011 |
| Parcel Size | 0.887 Acres |
| Cap Rate – Current | 5.62% |
| Total Return – Current | 5.62% |
Investment Overview
Marcus & Millichap is pleased to present this single tenant medical office building located at 225 Cabrillo Highway South, Bldg A in Half Moon Bay, California.
The project is 100% leased to the AAA credit rated County of San Mateo. The County operates this location as the San Mateo Costside Clinic, which offers Primary Care, Family Planning, Women’s Health, OB/GYN, Nutrition, Mental Health, Behavioral Health Rehabilitation Services, Sexually Transmitted Disease Screening/Therapy, WIC: Women, Infants and Children Program, and RotaCare. The property was extensively rennovated in 2011 by the tenant, and they spent approximately $1 million.
The property features wood frame construction and is located less than one mile from the beach. The subject property has no competition, the seaside community of Half Moon Bay doesn’t contain any other medical office properties over 5,000-square feet.
The building is situated 29 miles from San Francisco and 41 miles from San Jose. This is a truly rare opportunity for an investor to acquire a project in the heart of the SF Bay Area with a single tenant AAA credit rated lease.
Major Tenants
- County of San Mateo
Operating Data
| Income | Current |
| Base Rent | |
| Occupied Space | $654,670 |
| Gross Potential Rent | $654,670 |
| Expense Reimbursements | $56,400 |
| Gross Potential Income | $711,070 |
| Vacancy / Collection Allowance | 5% / $35,554 |
| Effective Gross Income | $675,517 |
| Total Expenses | $158,176 |
| Net Operating Income | $517,341 |
| Total Return | 5.62% / $517,341 |
| Expenses | |
| New Real Estate Taxes (1) | $101,000 |
| Supplemental Taxes | $2,200 |
| Insurance | $3,400 |
| Repairs & Maintenance | $3,300 |
| Management Fee | $33,776 |
| Elevator | $2,700 |
| HVAC | $8,400 |
| Landscaping | $2,100 |
| Other | $1,300 |
| Total Expenses | $158,176 |
| Expenses Per SF | $10.31 |
Contact Information
John R. Smelter
First Vice President Investments
Tel: (858) 373-3233
Fax: (858) 373-3110
License: CA 00859006
John.Smelter@marcusmillichap.com
www.marcusmillichap.com/JohnRSmelter
Marcus & Millichap
4660 La Jolla Village Drive
Suite 900
San Diego, CA 92122
Tel: (858) 373-3100
Fax: (858) 373-3110
www.marcusmillichap.com
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