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$ 4,300,000
Est. payment /mo
New
2116 K ST Sacramento, CA 95816
0.44 Acres Lot
UPDATED:
Key Details
Property Type Commercial
Sub Type Office
Listing Status Active
Purchase Type For Sale
MLS Listing ID 226116724
HOA Y/N No
Year Built 1970
Lot Size 0.441 Acres
Acres 0.4408
Property Sub-Type Office
Source MLS Metrolist
Property Description
2114 K Street, 2116 K Street, and 2119 L Street is a three-property portfolio in the heart of Midtown, Sacramento that is offered for sale together as a triple net leased investment. 2114 and 2116 K Street are contiguous single-story office buildings that are connected via interior opening and measure 9,600 rentable square feet total. 2119 L Street, which is located across the alley from the buildings, is a separate 6,400 square foot parking lot featuring 20 parking stalls. The Property is 100% leased to Wilcoxen Callaham, LLP (Wilcoxen''), a personal injury and malpractice law firm, which was founded in Sacramento in 1979 and has continuous occupied the Property for over 47 years. Wilcoxen recently extended the lease term for the entire Property through July 31, 2031, thus a new owner will inherit a nearly five-year term at closing. The lease is a traditional triple net structure whereby Wilcoxen reimburses the ownership for all operating expenses and nearly all maintenance and repair to the Property in addition to the base rent, janitorial, and utility expenses. Wilcoxen currently pays $2.15 per square foot, triple net, for 9,600 total square with 10 free parking stalls immediately behind 2116 K Street. Wilcoxen pays $2,222 per month for the 20 additional parking stalls located at 2119 L Street. Wilcoxen has one 3-year option to extend the lease through July 2034 with 3% annual rent increases. The current net operating income is $274,346 with Wilcoxen paying its pro-rata share of operating expenses (including property tax increases) in addition to the base rent. The Property is offered for $4,300,000 which equates to a 6.38% capitalization rate in the first year. Over the remaining 5 years of the firm term, the average annual return is approximately 6.77%. If Wilcoxen exercises its three-year extension option, thereby extending the term to 2034, the average annual return over eight years is approximately 7.12%. The property is in the heart of Midtown, just two blocks from the MARRS Building, Midtown Farmer's Market, Temple Coffee at 22K and countless other amenities.
Location
State CA
County Sacramento
Area 10816
Direction Located near the corner of 22nd and K Streets.
Location Details Downtown
Interior
Heating Central
Cooling Central
Flooring Carpet, Luxury Vinyl Plank
Exterior
Parking Features Exclusive, Offsite
Utilities Available Other
Water Access Desc Public
Roof Type Flat
Total Parking Spaces 30
Building
Foundation Slab
Sewer Public Sewer
Water Public
Others
Senior Community No
Tax ID 007-0092-007-0000
Special Listing Condition None
Listed by Ken Turton, Broker