Second Generation Salon Space Available in San Ramon

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Salon space is often sought-after due to the complexity and expense of the initial construction. Being that we live in an area that imposes impact fees on businesses whose consumption is above and beyond a “standard” business, there are water credits often associated with former salon spaces. These credits make opening businesses such as restaurants, bakeries, quick service food, massage, some medical practices, gyms, and even preschools much more affordable. The water impact fee can be in excess of twenty-five dollars per square foot which equates to about forty thousand dollars on a small take-out style (1,500 square foot) restaurant or average size salon. This cost is absorbed by the operator prior to opening the doors for business and even before construction can commence.

For this reason I often field calls from salon operators looking to expand within existing salon space. And with that, I introduce 2205 San Ramon Valley Boulevard, San Ramon.

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Located on the busy San Ramon Valley Boulevard corridor this former salon offers exceptional visibility. Tucked between San Ramon and Danville, the center is hot spot for the surrounding neighborhoods offering a variety of services with ample parking and easy access. This would be an excellent fit for dental office, hair salon, nail salon, tanning salon, med-spa, or boutique gym.

Stats:

Size: 3,000 square feet

Price: $2.15 per square foot, plus NNN expenses of $.50 per square foot

Comments: Located directly on San Ramon Valley Boulevard with excellent line of sight. Bright space with extensive glass. Two restrooms, over a dozen salon stations, and two treatment rooms. Affluent area between San Ramon and Danville.

Contact Jessica Mauser or John Blatter for more information 925.460.6200 jmauser@lee-associats.com jblatter@lee-associates.com

Retail and Office Buildings For Sale – San Ramon, Livermore, Danville

I am often asked why there seem to be no “small” buildings in the Tri-Valley market and why more of these “s234 mainmall” buildings do not come to market for sale. The most requested size range for the small business owner is 5,000 to 10,000 square feet, which constitutes a small building; especially when comparing to the half million square foot buildings commonly found in Bishop Ranch.

Due to living in such a suburban market, the majority of the shopping centers and office projects are planned and built as one large parcel that may contain multiple buildings. As opposed to an urban and older markets which had the tendency to be developed by individual owners to accommodate their needs. The larger the parcel, the more square footage, the more rents collected, the bigger the price tag. Thus, the inventory of free-standing buildings within a smaller size range more suited for small business owners are far and few in suburban markets (like the Tri-Valley) and more plentiful in urban markets.

Lately we have seen an influx of owner/user office and retail buildings come to market. These range in price from $1 million to $7 million. One of my favorite buildings being a 9,000 square foot two-story building in San Ramon once occupied by a bank but would make for a great medical building. Pleasanton has a beautiful multi-tenant retail building in downtown, a trophy for any real estate investor. Surprisingly, Danville has a couple options as well! Dublin remains very tight, with virtually no inventory of small retail and office buildings readily available for purchase.

Due to confidentiality reasons I am not able to share specific details on these properties.

If you are looking for a building, as a business owner or investor, retail, office, medical, or mixed-use, please feel free to contact me for a comprehensive market survey.

Tri-Valley Year End Retail Review

The long awaited market rebound has finally come to fruition. It has been a slow moving train but vacancy rates all across the Tri-Valley have stabilized at five-year lows. In addition to vacancy rates dropping dramatically, there has been a boom in new construction. Unfortunately, the additional inventory and quick absorption of this new space does not translate into the numbers. When analyzing the numbers, they are actually better than extremely positive results illustrated. Large deals such as Hobby Lobby and the copious amount of shop space being absorbed at Fallon Gateway are just a few examples of emerging new businesses helping to elevate 2014 into an exceptional year in retail leasing.

The story of 2014, and a trend that will continue in 2015, is residential development. Land and redevelopment acquisitions for residential purposes dominated the market. From Taylor Morrison’s 210 detached and attached housing projects in downtown Livermore to Trumark Homes, 184-acre, 805 single family homes in Dublin; residential deals are larger and more aggressive than we have seen in years.

-Jessica Mauser, Associate & Retail Specialist

Editor’s note in regards to Downtown Danville vacancy: The jump of about four percent may seem alarming, but the numbers are skewed due to Danville Hotel redevelopment.

 

Joy China Restaurant Now Closed

As I alluded to last week, a restaurant closure was in the works on W. Angela Street in downtown Pleasanton. It looks as though many have now noticed the official closure of Joy China Cuisine at 30 W. Angela. The space may not be one that has stood-out at iPleasanton downtown signn the past, located just behind 350 Main Street near Yogafina, directly across the street from Cocina Mexico. Look for a new pizzeria to begin construction soon.

Deconstruction Underway in Pleasanton on I-680

Clorox Former Site

If you have driven down 680 lately and looked east, you might notice the half torn down building near the Stoneridge off ramp. This is the former Clorox campus which was relocated a few years back to 4900 Johnson Drive, just a few blocks closer to Hacienda Business Park.

The former campus is comprised of 14 acres, 900 feet of freeway frontage, and just under 300,000 square feet of existing building structures. The property was purchased by a local commercial property owner and developer, Nearon Enterprises back in Q2 of 2013.

The site will be redeveloped and a number of retailers have been rumored to have interest, including Costco. There have been no official plans released as of yet but clean-up of the site is well underway.

San Ramon Sees Rare Restaurant Vacancies

jacksbrewingsanramonJack’s Brewing Company has officially closed their doors at 2410 San Ramon Valley Road. The Courtyard Center is located near the Crow Canyon exit on the west side of San Ramon, this closure marks the second turnover in five years. You may remember this was the longtime home of Bighorn Grill prior to Jack’s. The space is 4,500 square feet, plus outside patio. Side note, Tri-Valley Bank has also vacated this property recently.

Max’s has been vacant at the corner at Crow Canyon and Crow Canyon Place (Magnolia Square Shopping Center) for months and it is rumored the landlord is very close to finalizing a deal.

The other longtime vacancy is at Gale Ranch on Bollinger Canyon, the former Maui Burger and former Fat Cactus. This space is 3,500 square feet.

Kilohana Grill which was located in the Market Place on Bollinger has also closed. You might remember this spot located in the Orchard Supply Store parking lot, adjacent from Firehouse. New signs in the window indicate it has been leased to Shish Mediterranean Cuisine. The advertisements offers an “alternative to fast food”.

Pleasanton Continues to See Shifting Restaurant Scene

Coming Soon Green Road Sign with Copy Room Over The Dramatic Clouds and Sky.
As reported in my last post, Pastime Plaza will be bringing a new dining destination in addition to Downtown’s first Starbuck’s, but that is just the start of the shifting restaurant scene.

Rumor has it a new pizza restaurant will be opening on W. Angela Street. The exact location and business name have not been released but the whisperings are that it is an established business growing into the East Bay, think high-end pizza.

There is also a new breakfast/lunch spot opening in the former Zorn’s space on Hopyard Road and Valley Avenue. The new eatery is a long time South Bay favorite, Bill’s Cafe.

Round Table Pizza, Vitality Bowl’s, and Jersey Mike’s have also joined the line-up at Bernal Plaza, just across from the Safeway anchored Pleasanton Gateway Center.

With all the new there is bound to be a few closures and ownership changes. A number of restaurants are quietly being offered for sale at the moment. Due to confidentiality reasons, please contact me directly if you are looking for restaurant space jmauser@lee-associates.com or 925.737.4168

Pastime Plaza, a Downtown Pleasanton Redevelopment Story

Sotheby’s International Realty to open Pleasanton office | October 10, 2014 | Pleasanton Weekly | PleasantonWeekly.com |.

Have you been wondering what will replace the former Pastime Pool at 511 Main Street? Starbuck’s will be taking a portion of the ground floor retail space. This will be one of the few “Evening” concepts, serving wine, beer, and a variety of small bites after 4pm. In addition, Sabio on Main, a tapas restaurant will also be joining the line-up. Sabio’s menu will focus on small plates in addition to offering a full bar and extensive wine list.

The second floor will consist of Sotheby’s International Realty. You can read move about the developments on Pleasanton Weekly.

 

Sports Authority Comes to San Ramon

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Have you seen the sign yet? Sports Authority has taken the former Loehmann’s space in the Crow Canyon Commons Shopping Center on Crow Canyon Road in San Ramon. Rumor has it there are a couple other new tenants coming to the shopping center that will be announced in coming months.

First Sprout’s now Sports Authority? Crow Canyon Commons has done a tremendous job of repositioning the center as relevant over the past few years.

Moraga Barn Bar Building For Sale

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You might be curious why the Moraga Barn is the feature of the blog today, but I promise to keep this short and interesting. Located at 925 Country Club Drive, this adorable building has been in use since 1933 as a bar (built in 1913) which I can only surmise as a local institution. Back in 2008 the building under went a complete renovation and was completed as LEED Platinum. This historic property has been outfitted with solar roof tiles, radiant in floor heating, and underground water receptacles to collect rain water making it a lean and green power machine. There are very few buildings in the East Bay that meet LEED Platinum standards and even more impressive that a historic building has been transformed to this certification while retaining its charm.

New buildings and those that undergo major renovations on a whole do incorporate LEED energy efficiencies and this is a trend that will continue. LEED designations once thought of as hip thing ten years back has become a necessity with climate change becoming a hot button issue, especially in Washington D.C..But I digress…

The Moraga Bar is a great piece of real estate with historic charm and new world efficiencies. Having operated previously as a restaurant and bar, obtaining the permitting for a restaurant should be a viable option. At 3,325 square feet spread over two levels and a mezzanine, this is the perfect size for any small business. Given this info, I would rate this piece of property in my top five properties to open a restaurant in the Tri and Diablo Valley. Offered at $1,795,000 ($540 per square foot).

Curious of other properties on my top restaurant location list? Contact me via email jmauser@lee-associates.com or 925.737.4168

Tri-Valley Retail Market Continues to Burn

Exciting times if you work in the retail side of commercial real estate. We are seeing deals in all shapes and sizes, something we thought may never happen after the massacre of ’08… errr… I mean economic downturn. New development, old development, partially developed, the train is moving full steam ahead.

Vacancy is extremely low and prices have most certainly jumped by over 20% in most places and even closer to 30% in select pockets. Keep a finger on the mouse, more new posts to come, including some of the hot lease and sale opportunities currently on the market.

P.S. – I hope everyone has had a chance to discover Gotta Eatta Pita. They have two locations, Danville and Pleasant Hill with a location coming soon in Pleasanton near Hopyard and Owens Drive. I am in no way affiliated with the company they are just my favorite new quick serve restaurant. I promise you will not be disappointed!

 

City Center San Ramon Plan Unveiling

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So much to blog about and so little time! A few weeks back I was one of about one-hundred and fifty attendees at Dougherty Valley High School for the unveiling of the San Ramon City Center plans. It was a great presentation, topped with the perfect character telling the story of how the project has come to fruition across an ocean and on a different continent.  The main speaker was the architect on the project, Antonio Belvedere, a partner at the Renzo Piano Building Workshop in Genoa. He went through a very detailed story of projects that his firm has designed prior to leaping into the downtown development we know as City Center.

The entire project is built around an approximately 100′ by 400′ yard piazza, and this piazza will be the center off all shopping, dining, and entertainment. The total shop space was estimated at 350,000 square feet and will be dedicated to just retail and restaurants on two levels. There will be no office or hotel in this phase, that will come in phase two.

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Phase one will begin construction in 2015, which include the demolition of a couple office buildings nearest to Whole Foods. Phase one will span from Bishop Drive east to Camino Ramon. To clarify, the raw land on Bollinger Canyon and Camino Ramon will be phase two, consisting of hotel and office space which does not have a development date set.

“The project is entirely conceived around a generous piazza surrounded by six pavilions of varying sizes,” Piano has been quoted in previous press releases. “All of the pavilions have a direct relationship to the piazza and each of them contributes to animate it.”

As you drive by the new downtown, referred to as The Plaza District, there will be direct line of sight into the piazza because the walls will be glass. A multi-level parking garage will be on the east side of the project, incorporated into the design of the center, not a separate free standing garage you may find at a BART station. Overall, the plans are amazing and true work of beauty. The amount of detail that has been dedicated to making this the crown jewel of the I-680 corridor is obvious. As more plans become available I believe the community will be pleased with the vision Sunset Development has for San Ramon’s downtown.

San Ramon Getting Closer to New Downtown Development

As reported in the Sf Business Times, architect Renzo Piano will be part of the creative team designing Sunset Developments mixed-use retail project that will be the epicenter of San Ramon. The downtown project is being called City Center.

Sunset Development is a visionary, their plans to create a downtown destination with top-notch shopping, dining, and entertainment has been in the works for over a decade. When the economy took a hit the plans went on hold but were never shelved. It is no surprise the project is full steam ahead given the success new developments such as Fallon Gateway in Dublin (Phase I sold out and phase II well on its way to selling out). Not to mention, San Ramon grew by leaps and bounds pre-recession, with very little supporting retail. San Ramon stands as the first community within the Tri-Valley to see vacancy rates of the office park drop to single digits. Pleasanton’s Hacienda Business Park is still working to achieve these types of numbers.

“Plans for City Center call for retail, housing and hotel. Piano will design the first phase comprised of 350,000 square feet of retail including a movie theater, restaurants, and shops.” SF Biz Times, Blanca Torres.

Renzo Piano is known world wide for his excellence in design. He was the force behind the California Academy of Sciences in San Francisco. City Center goes before Planning Commission in mid-June with a first phase expected opening date in 2016.

Click here for Biz Times article

Church/ Religious Facility for Sale in Livermore

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Even at the bottom of the market, we saw very few bank owned or foreclosure properties come to market in our area. The hardest hit was the office market with a couple troubled office buildings trading hands between ’10-’12. The majority of troubled assets were able to workout or restructure loans rather than go into foreclosure.

The commercial market generally runs about two years behind the residential market. This means we are just now seeing the market get really hot with multiple offers in both sale and lease transactions along with extremely low inventory. Despite this, we have seen a sudden surge of bank owned and foreclosure properties, including a large religious facility in Livermore.

Built in 2009, the facility is 23,000 square feet situated on a lot just under two acres. The location is ideal on North Livermore Avenue with more than adequate parking. This is a turn-key facility complete with fixtures, furniture, and equipment ready for a new congregation. The price has been dropped by a million dollars, now asking $5.2 million.

In addition to this facility, there is also a smaller (about half the size) religious facility for lease in the east side of town. It is not often we see these types of facilities come to market and to have two at one time is even more of a rarity.

Included in this surge of distressed properties we have seen multiple newer industrial condos and few free-standing buildings go to foreclosure auction in the area.

If you are looking for distressed assets, foreclosures, or religions facilities please contact me! jmauser@lee-associates.com

 

Preschool/Childcare Facility For Lease in Pleasanton

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Those in the preschool, childcare, and daycare business are fully aware of the cost savings involved with taking over a space that has already been occupied by a similar facility. To start a new facility is almost impossible. To give those not in the business an idea of the hurdles involved it goes far beyond “hard” construction costs. Due to our limited land and tight zoning, there are very few commercial buildings able to accommodate a large amount of children and still have an outdoor area large enough to meet the requirements. For each child there is a certain amount of outdoor play area and without that outdoor area a facility cannot get licensed. Thus, a second generation preschool, childcare, or daycare is one of the most expensive facilities to lease in commercial real estate (next to restaurants and medical space).

Today I will highlight a space that has just come on to the market in Pleasanton. The 7,000 square foot building with an extensive outdoor play area has an asking rent of $2.65 per square foot, plus the triple net expenses. This no doubt would be a high-water mark for a fully equipped as a preschool, childcare, or daycare facility.

You might remember Prim Rose took over the facility Koll Center Parkway late 2012. The building had multiple offers and was rumored to go above asking rate which was $2.25 per square foot, plus the triple net expenses of just $0.25 per square foot. In terms of size, location, and quality the facilities are very similar.

Want more info or looking for a facility to house preschool? Contact Jessica jmauser@lee-associates.com or 925.737.4168