Iowa Street Redevelopment 4355 Iowa St 6 Unit Apartment Building $2,475,000 ($412,500/Unit) 4.04% Cap Rate San Diego, CA 92104

* * * please do not disturb residents * * *
3% buyer commission paid upon close of escrow. Seller desires to cash out - no carry back
Nice flat land for maximum unit yield in Tier 3 Complete Communities overlay zone Floor Area Ratio 6.5 . . Six total, privately owned parcels on this residential "short block" including the subject. Net usable/"build-able" floor space: 198,000 sq. ft. - -233 units @ 850 sf each, 2br/2ba . . Current rent rates in zip code 92104 for a larger 2 br/2 ba are $2800/mo., $300 more than zip code 92102, reflecting higher demand and preferred location
With vacation of Boundary Street (60' ROW) and the east-west 10' wide alley connecting to Iowa Street, the assembled block accrues 1.15 acres* of redevelopment potential in this RM-3-9 base zone. 60' height limit outright, likely a 7th level approved through a planned development variance, yielding additional units
CALIFORNIA DEPARTMENT of TRANSPORTATION has NO ownership in Boundary Street, a rare exception. Cal Trans ownership stops at their chain link fence shown in photos and video
OVERHEAD HIGH VOLTAGE ELECTRIC LINES and two high pressure gas lines (existing) . . .Approximately 425 lineal feet of high tension power lines (69kv, 12kv) require concrete encased under - grounding within the existing utility corridor (25' from the Cal Trans fence on Boundary St., one each 16" and 6" gas line exist) . . .a single 60' steel tower pole requires removal . . . two poles at North/South ends of the project remain . . . .
POTENTIAL . . . .
Assembled residential zoned block = 1.15 acres (50,094 sf) LESS the non build-able 25' x 475' utility easement corridor (11,875 sf) yields 38,219 sf X 6.5 FAR = 248,423 gross usable sf (call it 248,000). Applying 20 % for common area/ circulation/ core functions nets 198,400 sf "build-able" (80% of 248,000). .using a simplistic program of 100% 2br/2ba prototype, each 850 sq.ft., yield potential is 233 units. Putting a cost of $20 MM to acquire the other 5 lots, the per unit land cost is under $100K/unit.
Likely the other lots can be purchased 20%- 30% less in the inevitable times of economic disruption
PARKING as COMPETITIVE ADVANTAGE . . . .
Iowa Street has 80' right of way, allowing 90 degree head-in parking. With 8' wide stalls the 415' length would accommodate at least 39 spaces, including two disabled and two, 22' wide, double ingress-egress aprons (one for subterranean parking, one for grade level parking). A single level subterranean parking structure utilizing 60% of the site area (allowing for the triangular geometry and utility easement) will produce 71 spaces, including two disabled. Total of 110 spaces . desire more parking ? utilizing 75% of the parcel at grade level for parking will contribute approximately 86 stalls = 196 total spaces.
VALUE ADD . . .
The subject is comprised of (2) large 1br/1ba units approximately 745sf; (4) 1br/1ba units approximately 575 sf totaling 3,788 sf with (8) on-site parking spaces, a generous ratio at 2.1/1000 sf . . . on street parking often presents space as over-flow . . . capability of expanding two units . . .pro-forma rents are $1895 each for 4 units, $2095 for the larger 2 units.. . . .coin laundry on site . . . optimize rents with assertive management
OPPORTUNITY KNOCKS . . 1.15 acres, TIER 3 COMPLETE COMMUNITIES FAR 6.5 . . .
it's been 51 years since this largest parcel on the short block of 4300 Iowa St.was last available in 1974 . . . bank this now, pick up other parcels during inevitable economic disruptions and dislocations . . . access does NOT exist to the Union 76/Circle K from Boundary St. . . . what will this 1.15 acre assembled parcel West of 805, just 6 miles to downtown be worth in 15 or twenty SHORT years from today ?
*subject to survey
utility record documents and Cal Trans survey are available