A Corona del Mar retail strip sells $700,000 above asking
The $700,000 over-ask on a small Corona del Mar strip reflects what private local investors will pay for scarce retail with parking.
A multi-tenant retail property at 2515 E. Coast Highway in Corona del Mar sold for $13.7 million. That was about $700,000 above the asking price, according to Connect CRE. Coastal Commercial and Marcus & Millichap arranged the transaction, with Nathan Holthouser of Coastal Commercial and Ron Duong of Marcus & Millichap representing the deal.
The offering drew more than 10 offers and went through multiple rounds of bidding. Connect CRE describes the prospective buyers as mostly high-net-worth private investors with Orange County ties. The coverage does not name the eventual buyer.
The value of 20 parking spaces
Holthouser, one of the listing brokers, called the response exceptional. He cited the frontage on Pacific Coast Highway, about 20 on-site parking spaces that are hard to duplicate in Corona del Mar, and a mix of smaller commercial suites an owner can reprice as leases turn. Parking anchors the price; the suites carry the upside.
The transaction is small next to the institutional trades that usually reach this desk. The pricing was set by individuals with local ties, not by a fund spreading capital across markets. The process brought more than 10 offers and went through several rounds of bidding. In the end, the price went above the ask by $700,000. That over-ask landed on a strip with 20 parking spaces.
The report lists no cap rate, so the yield is not on the record. In this pocket of Orange County, a scarce strip with parking drew private capital through multiple rounds and sold above the ask. The next seller on Coast Highway will use this sale as the benchmark.