OFFERING MEMORANDUM
1290-1298 E. 14TH STREETSan Leandro, CA
WHIFF COLLINSManaging Director
+1 925 627 2898
LIC# 00611570
BETSY ZIMMERMANNSenior Associate
+1 925 627 2896
LIC# 01864073
JOHN DOLBYExecutive Director
+1 510 267 6027
LIC #00870630
VINCE AICALEExecutive Director
+1 415 694 6478
LIC #01728696
TABLE
OF
CON
TEN
TS
1. Disclaimer 3
2. Executive Summary 4
3. Investment Overview 5
4. Property Overview 6Regional Area Map 10
Parcel Map 11
Amenities Aerial 12
Zoning Overview 13
Redevelopment Sites 14
Redevelopment Overview 15
5. Area Overview 17San Leandro Transportation & Demographics 18
Area Highlights 19
3
This presentation has been prepared by Cushman & Wakefield U.S., Inc. on the basis of information obtained from Cushman & Wakefield U.S., Inc.’s client (the “Company”) and other public sources, as of the specified date. Cushman & Wakefield U.S., Inc. nor the Company undertake any duty or obligation to update the information. Neither Cushman & Wakefield U.S., Inc. nor the Company makes or gives any representation, warranty or guarantee, whether express or implied, that the information contained in this presentation or otherwise supplied to the recipient, at any time by or on behalf of Cushman & Wakefield U.S., Inc. or the Company whether in writing or not, relating to the offering discussed herein is complete or accurate or that it has been or will be audited or dependently verified, or that reasonable care has been taken in compiling, preparing or furnishing the information. This presentation provides a guide only and it is not intended to be exhaustive and, in particular, does not contain disclosure of any of the risks associated with the opportunity. This presentation is not to be construed as investment, tax or legal advice in relation to the relevant subject matter. You must seek your own legal or other professional advice.
This presentation contains statements that are forward-looking statements. These forward-looking statements, which are subject to numerous risks, uncertainties and assumptions, include projections of future financial performance, anticipated growth strategies and anticipated trends in the business. These statements are only predictions based on current expectations and projections about future events, subject to change due to actual results, level of activity, performance or achievements. Any estimate or forecast contained in this presentation is not a promise or representation by Cushman & Wakefield U.S., Inc. or the Company as to future matters and nothing contained in the information should be relied upon as a representation as to future matters.
The projections based on financial and other pro forma data set forth in this presentation were not prepared with a view toward compliance with U.S. Generally Accepted Accounting Principles or any other published standards. Projections and other pro forma data are derived from estimates, as of the date of this presentation, based on certain hypothetical assumptions, which are inherently subject to significant business, economic and competitive uncertainties and contingencies. Independent estimates about the future benefits of the opportunity and pro forma data should be developed by investors before any decision is made on whether or not to invest in the opportunity and investors should not rely on the projections and pro forma data contained herein. Summaries of any documents about the opportunity discussed herein are not intended to be comprehensive or all inclusive, but rather only outline some of the provisions contained therein and are qualified in their entirety by the actual document to which they relate.
This presentation does not constitute an offer or invitation to make an investment, in any form, in the opportunity discussed herein. It has been prepared to obtain indications of interest about an investment to be made which will only be made upon the basis of the negotiations and executions of full investment documentation. This is not an offer of an investment opportunity in any jurisdiction where it is prohibited or where a pre-filing or other action is required.
You understand that the information is confidential and is furnished solely for the purpose of your review in connection with the opportunity discussed herein. You further understand that the information is not to be used for any other purpose or made available to any other person without the express written consent of Cushman & Wakefield U.S., Inc. This offering is subject to prior placement and withdrawal, cancellation or modification without notice. July 2017.
DISCLA
IMER
4
The offering consists of an opportunity to acquire a ±33,049 rsf four-story office building at 1290-1298 E. 14th Street in the city of San Leandro owner occupied by Wells Fargo Bank. The income producing commercial property is located in Downtown San Leandro at the northeast corner of Estudillo Avenue and East 14th Street. The building will be approximately 29% leased, with the 9,617 rsf ground floor of the property being leased by Wells Fargo Bank for its bank branch (10 year lease.) The second, third, and fourth floors of office space are vacant. The property is situated on one parcel totaling ±12,091 square feet. The property should prove to be an attractive purchase opportunity for investors looking to enjoy the potential for rent growth and the ability to control a project in a supply limited market.
STRENGTHENING AND DYNAMIC MARKET
The East Bay economy is gaining momentum and the market for office is strengthening. Leasing activity is strong with vacancies decreasing and rental rates increasing. The potential for future rental growth should continue to be outstanding.
EXEC
UTI
VE
SUM
MARY
THE OFFERING
STRONG MARKET FUNDAMENTALS
East Bay’s growing labor force has been fueled by tenants migrating from San Francisco, where
local firms have expanded to become a bigger part of the narrative. The East Bay Area remains
one of the more affordable markets within the region for both cost-of-living and working, drawing a large
number of start-up companies who want to remain in the Greater Bay Area. We expect this trend to continue
albeit in a more controlled manner than the past few years.
ADDRESS(County)
1290-1298 E. 14th StreetSan Leandro, CA (Alameda County)
YEAR1972
OCCUPANCY 29% - 10 year NNN Lease by Wells Fargo Bank
TOTAL SF±33,049 SF
PARCEL SF±0.28 Acres (±12,091 SF)
APN(s)077-0551-066
ZONINGDowntown Area 1 (DA-1)
TENANTSWells Fargo Bank
INVESTM
ENT O
VER
VIEW
INVESTMENT OVERVIEW
CONVENIENT LOCATION IN A GROWING COMMUNITY• Directly in-between Interstate 880 and Interstate 580• 8 minute walk to San Leandro Station BART providing excellent access to San
Francisco and Oakland metro areas
ABUNDANT PARKING AND AMENITIES NEARBY• Adjacent to a 300 stall city owned parking structure
• Walking distance to nearby restaurants, cafes, and shopping
AFFLUENT NORTHERN CALIFORNIA LOCATION• Excellent Bay Area Location close to major hubs (San Francisco and Oakland)
5
PRO
PER
TY O
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The property is located in the heart of San Leandro, a truly unique community in one of the most thriving places, the Bay Area. The site is conveniently located centrally off of Interstate 880 and Interstate 580, and within 20 miles of both downtown San Francisco heading west and Silicon Valley heading south. With easy highway accessibility and just an eight minute walk to its own BART station, the property offers its residents the option to explore the more urban existence of the surrounding areas with ease. Additionally, the property benefits from this convenient location with great access to 21,600 vehicles per day.
It borders a major shopping center, adjoins a city owned parking garage, and has strong corner exposure and visibility. The site is located within a block of several other major banks and due to it’s strong corner presence, it makes for a prominent bank location within the heart of Downtown San Leandro. The overall outlook for the property vicinity and subject environs are positive.
MAP
CLICK HERE FOR SAN LEANDRO BART
INFORMATION
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PRO
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PROPERTY HIGHLIGHTS TOTAL RENTABLE BUILDING SF
±33,049 SFGround Floor: ±9,617 SFUpper Office Spaces: ±23,432 SF
EXTERIORPainted Stucco with Spanish style mansards
PARKING Adjoining 300 space city parking garage – monthly parking passes available
SPRINKLERSCommon stairways and fourth floor
ELEVATORS2 OTIS elevators
HVACFull heating and air-conditioning is provided
FIRST FLOORImproved as Wells Fargo Bank branch with 12-stations, teller line, cash/safety deposit vault, lounge area, personal banking area, and a large lobby. (3 Exterior ATMs)
SECOND FLOOR - FOURTH FLOORElevator access, lobbies, and restrooms. All space is vacant.
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300SITE
E 14TH STREET
ESTUDILLO AVE
9
205
5
5
238
237
5
5
4
33
120
4
26
88
99
101
680
680
680
580
880280
280
80
80
780
1 92
84
84
4
37
116
101
50
101
580
580
12
101
101
880
85
82
87
82
17
NAPA
SANTACRUZ
101
101
50
499
120
132
99
33
165
29121
113
113
160
84
99
16
99
88
17
152
580
5
5
205
80
505
80
80
128
128
116
12
12
12
1
LIVERMORE
BRENTWOOD
MANTECA
CONCORD
ELK GROVE
FAIRFIELD
VACAVILLE
DAVIS
PETALUMA
BENICIA
FREMONT
OAKLAND
WALNUT CREEK
SAN RAMON
RICHMOND
BERKELEY
HAYWARD
ANTIOCH OAKLEY
TRACY
STOCKTONSAN RAF
SAN JOSE
AEL
SANFRANCISCO
TO
PACIFICOCEAN
SANFRANCISCO
BAY
PALO AL
SUISUNBAYSAN
PABLOBAY
REG
ION
AL A
REA
MAP
1290-1298 E. 14th Street, San Leandro, CA
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DISTANCES TO LOCAL MARKETS
Oakland International Airport: 4.1 miles
San Francisco International
Airport: 29.7 miles
PARCE
L M
AP
1290-1298 E. 14th St.San Leandro, CA
Parcel SF: ±12,091 SF
APN(s):077-0551-066
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12
SITE
AM
ENITIES A
ERIA
L
Downtown is San Leandro’s central business district and civic heart. A pedestrian-oriented district with office, retail, and housing development, public gathering places, a blending of historic buildings and compatible new buildings, and easy access to public transit.
VILLAGE MARKETPLACE
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ZON
ING
OVER
VIEW
DA-1 (DOWNTOWN AREA 1) AT A GLANCE
5 Mile Radius from Site
2000 Population: 335,771
2015 Population: 340,283
2035 Population (projected):
414,600
Major Neighborhoods:
Downtown
Downtown East
TOD Area
Peralta
To implement specific provisions of the Downtown San Leandro Transit-Oriented Development Strategy for the Downtown retail core area centered on East 14th Street between Davis Street and Castro Street. Ground floor retail is required on parcels fronting on East 14th Street and Washington Avenue north of Parrott Street and encouraged on all other parcels in this District. Residential mixed use development is allowed.
LAND USES: CENTRAL SAN LEANDRO The Central area includes the residential uses within and around Downtown San Leandro. The
area contains a diverse and eclectic mix of housing, including the city’s largest concentration of pre-1910 homes. Much of the development that took place during the 1950s-1970s was not sympathetic to the area’s historic context. Thus, Central San Leandro is sometimes not identified as a neighborhood, but rather as an extension of Downtown.
Almost half of the residential growth expected in San Leandro during the next 20 years
will take place in the Central area. Most of this growth will occur near the BART station in multi-family developments designed to maximize opportunities for walking, bicycling, bus, and BART use. A large area of future residential development is located near the north end of Alvarado Street northwest of the station. Other major opportunity sites include the Town Hall Square site at Davis/East 14th, the former CVS drug store at East 14th/Callan, several sites along Washington Avenue, and sites to the immediate south of the BART station. Some of this development may consist of mixed use projects with ground floor retail or office uses and upper story housing, and some may be entirely commercial or residential.
Public realm improvements will take place to make the area more cohesive and distinct as development occurs. As San Leandro’s most “urban” neighborhood, opportunities to enhance the streetscape, encourage walking, and create a variety of housing types should be pursued. At the same time, opportunities to enhance the area’s historic ambiance and conserve its older housing stock should be encouraged. Infill housing should create an urban living environment while respecting and preserving historic resources.
RED
EVELO
PM
ENT SITES
AT A GLANCE Sansome Pacific Mixed-Use: 1.2 Acres
1188 E. 14th Street (@ Callan)
Marea Alta Apartments: 1400 San Leandro Blvd. (Old BART Parking Lot)
San Leandro Tech Campus: 750,000 SFDavis St. @ Alvarado St
San Leandro Tech Campus S: 3.13 AcresAlvarado St @ Thornton St.
Galvan Apartments: 0.5 AcresWashington Ave. @ Thornton St.
Town Hall Square Project:
65,976 SFUnion Bank Block (1145 E. 14th St.)
Washington & Parrot: .42 AcresWashington Ave. @ Parrot St.
Eden Apartments: .46 Acres
1604 & 1624 San Leandro Blvd.
Wells Fargo Site: 5+Acres Alvarado St. @ Davis St.
SITE
14
15
RED
EVEL
OPM
ENT
OVER
VIE
W1.2 Acres - 1188 E. 14th Street (@ Callan) - Former CVS site
20,000 SF of Retail with 100 Residential Units above
In escrow with Sansome Pacific for $4.5M
75’ Height Limit
Sansome Pacific Mixed-Use
1400 San Leandro Blvd. (Old BART Parking Lot)
2 Phases:
Phase 1: Family Housing
Phase 2: 85 Units of Senior Affordable Housing
Marea Alta Apartments
3.13 Acres - Alvarado St @ Thornton St.
Phase 4 – 7 story mixed-use residential building
including 197 apartments (13,000 SF of commercial
space - 42 studio units, 114 one-bedroom units,
41 two-bedroom units, and 13,024 square feet of
ground-floor commercial space)
750,000 SF - Davis St. @ Alvarado Street - Westlake Development Partners, LLC
Phase I – completed Nov 2016 6 story – 132,000 SF office building and 6 story parking garage with over
800 spaces – half are public parking
Phase 2 – minimum 6 story 120,000 SF office building
Phase 3 – minimum 5 story 100,000 SF commercial office building
San Leandro Tech Campus Tech Campus - South
65,976 SF - Union Bank Block (1145 E. 14th St.)
Mixed-Use Development
Prime Location
Across the Street from New Parking Garage
Town Hall Square Project
0.5 Acres - Washington Ave. @ Thornton St. - Gordon Galvan
5 Story building with 60 high-end apartments above a 73 space
parking garage
Located on two parcels
Half a mile from BART
Galvan Apartments
16 16
San LeandroS A N L E A N D R O
.co
m
C O M M U N I T Y D E V E L O P M E N T
SAN LEANDRO TECH CAMPUS This development brings up to 500,000 square feet of office space and the Truth Is Beauty sculpture to Downtown San Leandro. The first building and parking garage are complete, housing local tech firm OSIsoft. Construction of the second 132,000 square foot building is underway.
TECH CAMPUS HOUSING On the south end of the San Leandro Tech Campus site, developer Westlake Urban is proposing 197 units of multi-family housing. The modern development will include ground floor retail, a roof deck, and other tenant amenities.
MAREA ALTA APARTMENTS Construction of 85 units of senior affordable housing is schedule to begin in 2017. This building will complement the 115 units of affordable workforce/family housing, BART replacement parking, and future childcare facility at San Leandro Blvd. and Parrott St.
E. 14TH/CALLAN DEVELOPMENT Sansome Pacific Development is planning to construct a mixed-use development at this former CVS site, with ground floor retail and approximately 150 housing units.
GALVAN HOUSINGA new 60-unit housing development has been approved at the northwest corner of Washington Avenue and Thornton Street. The project represents the first market-rate multi-unit housing development in Downtown San Leandro in decades.
WASHINGTON/PARROTT DEVELOPMENT Following a Request for Proposals, a mixed-use development, including up to 30 multi-family housing units and a ground floor restaurant, is proposed for this centrally-located downtown development site owned by the former Redevelopment Agency.
EDEN APARTMENTS Eden Housing proposes to bring 60 units of affordable housing across the street from the San Leandro BART Station at Parrott Street and San Leandro Boulevard. Amenities will include a community room, on-site laundry facilities, and a computer learning center.
BAYFAIR TOD The City is preparing a long-range TOD (Transit-Oriented Development) plan for the half mile area around the Bay Fair BART Station. The plan will guide future development in the area, which has the potential to develop into a destination for transit-oriented retail and higher density residential.
SHORELINE DEVELOPMENT The City is working with Cal-Coast Development to improve 75 of its 950 acres of publicly-owned shoreline. The master plan includes enhanced parks and recreational amenities, housing, a new hotel, restaurants with banquet facilities, and a new Mulford-Marina Branch Library.
2000 MARINA BLVD. Overton Moore Properties’ $65 million redevelopment of the former 13-acre Georgia Pacific plant will include 297,000 square feet of high quality industrial and office space, as well as significant public improvements, including street widening, under-grounding of utilities, and landscaping.
100 HALCYON DR. Three buildings providing over 550,000 square feet of Class A industrial space are proposed for this 30 acre former Kraft / Yuban coffee plant facility at Halcyon Dr. and Washington Ave. The $115 million development is to include public improvements, new landscaping, and an art element.
1980 W. AVE. 140TH
Major improvements are being made to the 306,000 square foot former Sears building south of Fairway Dr. and Merced St., including a new façade and landscaping. The site will be the headquarters of custom furniture manufacturer, Friant, bringing over 100 jobs to the City.
±.0.46 Acres (±20,014 SF) - 1604 and 1624 San Leandro Blvd.
Up to 60 units
DA-4 Zoning
30 Residential spaces provided
Eden Housing
5+ Acres - Alvarado St. @ Davis St.
Can include over 500 residential units
Wells Fargo Site
.42 Acres (18,375 SF) - Washington Ave. @ Parrot St.
Located on two parcels
Mixed Use – Residential and Retail
75’ height
75 units per acre
Washington & Parrot
Parrot St. San
Lean
dro
Blvd
.
Alva
rado
St.
Davis St.
AREA
DES
CRIP
TIO
N
SAN LEANDRO
The City of San Leandro is located in the west central sector of the Alameda County. This friendly and diverse city with a colorful heritage and numerous cultural amenities, supports a growing community. With a 450-berth Marina, two golf courses, and a large community library, this city brings together people of all backgrounds. Residents celebrate their abundant cherry harvest annually with the Cherry Festival which was so successful from the start that it is still celebrated today.
San Leandro is well-known for its quiet, well-defined neighborhoods with old-school charm and unique older homes on tree-lined streets. Residents are proud of both their neighborhoods and their City, which is reflected by their active involvement in the City’s numerous neighborhood and homeowners associations.
The nation is familiar with California’s beautiful coasts and amazing weather, and with an avgerage temperature of 62 degrees, San Leandro is one of the most convenient locations with two major hubs nearby and close proximity to local airports that attract people from all over.
ALAMEDA COUNTYAlameda County is one of five counties that
make up the metropolitan San Francisco area. The County enjoys a varied geography ranging
from urban marinas to rolling open spaces to hillside lakes and streams. Alameda is the seventh most
populous county in California, and has 14 incorporated cities and several unincorporated communities.
The county is traditionally comprised of manufacturing, transportation, and warehousing sectors with a
locational advantage due to its position on the eastern side of the San Francisco Bay. The population within the
county continues to grow with 2%-4% increases each year.
San Leandro 2035 General Plan – Vision
for San Leandro:
CLICK HERE FOR THE VISION INFO
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DEMOGRAPHICS
1-Mile 3-Mile 5-Mile
POPULATION 34,530 172,948 366,982HOUSEHOLDS 13,055 57,421 123,374FAMILIES 8,094 39,392 85,064AVERAGE HH INCOME $90,278 $74,876 $82,525MEDIAN AGE 39.7 35.9 36.6
TRAFFIC COUNTSEstudillo Ave @ E 14th Street: 14,571 ADTE 14th Street @ Estudillo Ave: 21,600 ADTE 14th Street @ Joaquin Ave: 20,200 ADT
San Leandro’s residential neighborhoods are large, diverse and dedicated to their
conservation and enhancement. Neighborhoods contain housing, parks, schools, local
shopping areas, and other features which give them definition and character.
Residential neighborhoods form a crescent around Downtown San Leandro
and extend east into the hills, south to Ashland and San Lorenzo, and
west to the San Leandro Shoreline. The neighborhoods to the north
and east of Downtown contain most of San Leandro’s pre-
1940s housing stock and are built on a traditional grid
pattern. To the south and west of Downtown, most
of the neighborhoods date from the
1940s and 50s.
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This building has the ability to connect to the Lit San Leandro fiber optic loop off of E 14th or Estudillio, offering HIGH speed internet up to 10 gigabits per second. This is a great asset for tech companies, or others looking to work with a lot of data, video, etc. The city of San Leandro has found many companies interested in the high speeds, from startups to established manufacturers looking to use the speeds for their inventory data management. You can read more about Lit San Leandro at litsanleandro.com.
MAKER SPACEWith a strong manufacturing sector and high-speed internet, San Leandro has a strong maker community and a number of innovative startups. The second floor of the Westgate Shopping Center at Davis and 880 is home to the Gate 510, which houses over 500,000 square feet of space for established and startup manufacturers, as well as hardware, software, and other companies. Some of these exciting companies include Freewire Technologies, Memphis Meats, and PhaseSpace. Learn more by visiting sanleandronext.com.
LIT SAN LEANDRO
RETAIL AND DOWNTOWN DEVELOPMENT
Downtown San Leandro is a part of the San Leandro Improvement Association, which provides
enhanced maintenance, events, promotions and other means of support for downtown property owners
and businesses. This building is also next to the San Leandro Chamber (in the first floor of the parking garage
along Estudillo). New retail development in downtown includes the Village Development, which includes CVS, Peets,
and Habit Burger. Several new food/beverage establishments include Sons of Liberty restaurant, the Cooler alehouse, and an
upcoming Shabu House. San Leandro loves craft beer, housing Drake’s, 21st Amendment, and Cleophus Quealy breweries. Learn
more about Downtown San Leandro at downtownsanleandro.com.
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PUBLIC ARTOver the past several years, a number of pieces of public art have been installed in San Leandro, including the Chime Way interactive art exhibit in Joaquin Plaza, just south of this building along East 14th, installation of at least four major murals, including a mural by Rigo23 at the BART station and three large murals in the industrial areas, as well as art on 40+ utility boxes throughout the city.
Stay up-to-date with what’s happening in San Leandro by visiting their blog,sanleandronext.com.
San Leandro has a very strong industrial market, employing up to 20,000 people with well-paying jobs who are looking to live and do business in the area. San Leandro is proud to be a community that encompasses the motto ‘We Make Things’. The city has a strong history of manufacturing, with strengths in food manufacturing, construction services, and advanced manufacturers serving the auto, aviation, and military industries. With a great location near 880, 580, the Oakland Airport, and the Port of Oakland, San Leandro consistently has industrial vacancy rates below 1% which is driving new construction on legacy sites. Currently there is over 1.5 million square feet of new or rehabbed construction underway or planned, with a value of over $150 million. See more about the latest development on sanleandronext.com.
INDUSTRIAL DEVELOPMENT
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©2017 Cushman & Wakefield
The material in this presentation has been prepared solely for information purposes, and is strictly confidential. Any disclosure, use, copying or circulation of this presentation (or the information
contained within it) is strictly prohibited, unless you have obtained Cushman & Wakefield’s prior written consent. The views expressed in this presentation are the views of the author and do not necessarily
reflect the views of Cushman & Wakefield. Neither this presentation nor any part of it shall form the basis of, or be relied upon in connection with any offer, or act as an inducement to enter into any contract
or commitment whatsoever. NO REPRESENTATION OR WARRANTY IS GIVEN, EXPRESS OR IMPLIED, AS TO THE ACCURACY OF THE INFORMATION CONTAINED WITHIN THIS PRESENTATION, AND CUSHMAN
& WAKEFIELD IS UNDER NO OBLIGATION TO SUBSEQUENTLY CORRECT IT IN THE EVENT OF ERRORS.
WHIFF COLLINSManaging Director
+1 925 627 2898
LIC# 00611570
BETSY ZIMMERMANNSenior Associate
+1 925 627 2896
LIC# 01864073
JOHN DOLBYExecutive Director
+1 510 267 6027
LIC #00870630
VINCE AICALEExecutive Director
+1 415 694 6478
LIC #01728696
