Throughout 2022, San Diego’s retail market has remained fairly stable, with various midsize investments marking the third quarter of the year. Still, larger investment properties continue to be added to the market.
One property recently added to the market in Carlsbad includes Los Coches Village, a 66,958 square foot retail center at 3251 Camino De Los Coches. According to a listing for the asset by Kidder Mathews, the property is on the market with guidance set at $50 million, or about $747 per square foot.
Property records show that the retail center is currently owned by Los Coches Properties LLC, an entity affiliated with Westlake Village-based DSB Properties. The company acquired the retail center in 2006 for an undisclosed amount.
The property is currently 92 percent occupied by a variety of retailers, including Sprouts, Big 5 Sporting Goods, Cotija’s Taco Shop, Elements Massage, Crust Pizzeria and several others. Currently, net operating income at the property equates to $1.99 million.
The property is located at the intersection of Santa Fe Road and Camino De Los Coches, adjacent to Stagecoach Community Park. Nearby are various other retailers as well, including Vons, Michaels, CVS and more.
The area is also home to a large population, with approximately 171,318 people within a five mile-radius of the property, according to Kidder Mathews. In addition, those living within a five-mile radius of the site earn a median annual income of $123,479.
The San Diego retail market as a whole has remained relatively unchanged throughout the third quarter of 2023, according to a report from Kidder Mathews. The report showed that vacancies have remained mostly unchanged, four percent in the third quarter compared to 4.2 percent in the previous quarter. Rental rates have also remained stable, moving from $2.28 per square foot in the second quarter of the year to $2.26 per square foot in the third quarter.
This has caused average sales prices to drop slightly as well, moving from $422.28 per square foot on average in the second quarter to $373.06 per square foot in the third. Still, similar properties are showing comparable sales rates. One retail center, Eastlake Terraces, sold for $47.8 million, or $784 per square foot, during the third quarter. According to Kidder Mathews, the property, which totals 60,972 was sold by Crow Holdings to Gershman Properties.
