3940 California Ave
Norco, CA 92860

Bread and butter retail office opportunity for either an investor or owner-user with great upside potential. Current rents on average at 56% of current market rents of $1.5/sf/month and without the NNN reimbursements of comparable spaces. With an owner-user using a fixed rate SBA loan, a 10% or ~50,000 down payment will have an approximate monthly mortgage payment of $2,178 based on the September SBA 504 auction with an interest rate of ~3.65% and a first mortgage at 4.8% amortized over 25 years. This mortgage payment is literally paid by the 2 tenants at a market rate of $1.5/sf/mo. The owner-user will occupy virtually free except for the owner portion of the property taxes, insurance, common area maintenance. Great upside potential for an investor. Opportunity to raise rents to market rate and/or to implement CAM charge. At market rates and with NNN, this property yields a cap rate of 11%. A NN will yield a 9.8% cap rate.