123 Pearl St
Santa Cruz, CA 95060
Multifamily Property For Sale · 9 Units

Marcus and Millichap, as the exclusive listing agent, is pleased to present the opportunity to acquire 123 Pearl Street Apartments, a 9-unit apartment community located in Santa Cruz, California. Located approximately 30 miles from the city of San Jose, Santa Cruz offers a serene and relaxing ocean-side setting within a short commute of Silicon Valleys thriving and busy environment. While city leaders are motivated to further develop the local economy, Santa Cruz has generally taken a controlled growth approach to housing. As a result, the newest market-rate rental apartments (50+ units) were built in 2004, over 13 years ago. 123 Pearl Street Apartments represents a rare opportunity to own a value-add community in one of the tightest rental markets in the nation. Built in 1959, 123 Pearl is comprised of one single story building residential buildings set among mature, beautifully landscaped walkways. Community amenities include laundry facilities, private yards and off street parking. Offering residents a diverse mix of three distinctive, well-designed, studio, one and two bedroom floor plans, including 2 large two bedrooms. The interiors feature fully-equipped kitchens including modern appliances and garbage disposals, ceiling fans, vaulted ceilings, upgraded windows, ample in unit storage, and gas wall heating. The property is perfect to be repositioned with the implementation of a unit by unit renovation program and the introduction of additional unit interior and amenity improvements, which in turn, should further enhance the assets marketability to current and prospective residents. The investment appeal of this asset is driven by the property’s current loss-to-lease, the value-add upside through interior and community amenity upgrades, the micro-location, limited multifamily pipeline and existing supply, and continued strong momentum throughout the Santa Cruz rental market.