A potential redevelopment site in National City could bring more than 500 residential units to National City. The property is currently up for sale, according to a listing by South Coast Commercial, with an asking price of $19 million, or about $302 per square foot.
Located at 310, 330 and 340 National City Blvd., the 1.44-acre property is currently owned by National City Blvd Commercial Holdings LLC, an entity linked to Nancy Estolano of National City, according to public property records. The site is currently developed with three buildings totaling 62,889 square feet. The existing three buildings are light industrial and retail and includes the former 800-seat Bay Theatre.
The marketing brochure for the property shows that the project would likely include the construction of two towers above underground parking with ground floor retail, life science or retail tenants. The project site is located within the 1A Development Zone of National City’s Downtown Specific Plan Area, which encourages the development of up to 5,500 new housing units, a limited number of which is in the 1A Development Zone.
The property is located directly across from Interstate 5, near the San Diego Bay. Also nearby is Admiral Prout Field and various dining and retail amenities.
Market fundamentals across the larger San Diego area have remained strong for multifamily properties over the last several quarters. According to a recent fourth quarter market report from Kidder Mathews, vacancy rates have remained relatively low while rental rates have shown a slight increase over the last several quarters. The report showed that rental rates increased 4.9 percent year-over-year, recording an average asking rate of $2,192 per month during the fourth quarter of 2022. Vacancy moved up slightly, with a rate of 3.3 percent recorded in the fourth quarter. In addition, a number of properties were delivered over the course of the fourth quarter, with a total of 587 units completed.
