Victorian Mixed-Use
For Sale
$2,535,000
603 Mission Street, Santa Cruz, CA 95060
Historic corner property combines professional office space with a separate residential unit and conversion potential under current zoning.
Property Size5,923 SF
Lot Size0.41 Acres
Price / SF$427.99
Days on Market571
Property Features for 603 Mission Street
General Information
Standard status
Active
Size
5,923 SF
Lot size
0.41 Acres
Property subtype
Multi Family
Additional Details
Road Access
Yes
Multifamily Units
1
Building Details
Year Built
1889
Buildings
2
Construction
Victorian
Listing Agency:
Anderson Christie, Inc.
(831) 406-1031
Listed By:
Marvin Christie · License #01894395
(831) 406-1031
Source:
Exitrealty
Added: Feb 6, 2025
Changed: Aug 29
Last Checked: Aug 30 at 2:24PM
Displayed information is deemed reliable but is not guaranteed and should be independently verified. All listing content including descriptions, pricing, images are the copyrighted material of Anderson Christie, Inc.
Investment Insights
Based on property information with market context.
Built in 1889, this mixed-use property includes a 4,623-square-foot Victorian building configured for professional office use, with six private offices, meeting rooms, breakrooms, and 200 square feet of storage. A separate structure contains a legal residential unit above private office space, creating a live-work configuration within the property.
The site comprises three parcels totaling over 18,000 square feet at 603 Mission Street in Santa Cruz. Its corner position places the property along a heavily traveled road within walking distance of downtown restaurants and shops. New zoning allows multi-residential conversion, while lot consolidation and future development possibilities are identified in the property information. Residential and development options require verification with the City of Santa Cruz.
The site comprises three parcels totaling over 18,000 square feet at 603 Mission Street in Santa Cruz. Its corner position places the property along a heavily traveled road within walking distance of downtown restaurants and shops. New zoning allows multi-residential conversion, while lot consolidation and future development possibilities are identified in the property information. Residential and development options require verification with the City of Santa Cruz.
Key Highlights
- 4,623‑square‑foot Victorian office building constructed in 1889
- Six private offices plus meeting rooms, breakrooms, and 200 square feet of storage
- Separate structure includes a legal residential unit above private office space
Financial Insights
Estimated NOI and Cap Rate
NOI = area × lease_rate × (100 − vacancy) / 100 × (1 − expense_ratio). Net Operating Income — what the owner takes home each year before mortgage payments and income tax. Effective rent (asking rent minus vacancy losses) minus operating costs (taxes, insurance, maintenance, management).
NOI / Yr
$211,673
Cap rate = NOI / list price × 100. Capitalization rate — annual return on a fully cash purchase, before financing. NOI divided by price. Higher means more income per dollar invested, but usually also more risk or older condition. 5–8% is typical for stabilized commercial property; double digits often signal distressed deals.
Cap Rate
8.35%
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$4,233,460
$4.2M
Cap Rate 7%
$3,023,900
$3.0M
Cap Rate 9%
$2,351,922
$2.4M
Market Conditions
NOI Build-Up for 5,923 SF
Vacancy — income lost from leasable area expected to sit empty during the year, subtracted from gross rent.
EGI (Effective Gross Income) — gross rent minus vacancy losses, the realistic income before paying operating costs.
OpEx (Operating Expenses) — recurring costs to operate the property (property tax, insurance, utilities, maintenance, management); excludes financing and capital improvements.
NOI (Net Operating Income) — income a property generates after operating costs but before financing and taxes.
Gross rent
$355.4K $60.00/SF
− Vacancy
−$16.7K −$2.82/SF
EGI
$338.7K $57.18/SF
− OpEx
−$127.0K −$21.44/SF
NOI
$211.7K $35.74/SF
Area
Santa Cruz County, CA
Vacancy
4.70%
Lease Rate
$60.00 /SF/Yr
Expense Ratio
37.50%
Simulate Cap Rate and NOI
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$4,233,460
Cap Rate 7%
$3,023,900
Cap Rate 9%
$2,351,922
Alternative Uses
Best Use
Mixed Use
$3.02M
$2.65M – $3.53M
NOI $211,673 @ 7.0% cap · market cap 8.35%
Second Best
Office B
$2.08M
$1.82M – $2.43M
NOI $145,528 @ 7.0% cap · market cap 5.74%
Theoretical Best
Retail
$3.39M
$2.96M – $3.95M
NOI $237,074 @ 7.0% cap · market cap 9.35%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
1
Residential units
Yes
Paved road access
Location Intelligence
Trade Area within ½ mile
3,288
Businesses Nearby
Explore this area
Business Placement
Demographics for 95060, CA
47,931
Population
20,181
Households
2.4
Avg Household Size
39
Median Age
55%
College-Educated
94%
High-School Grad
54.5 sq mi
ZIP Area
879
Density / Sq Mi
$106,040
Median Household Income
$46,231
Median Earnings
$2,356
Median Rent
$1,189,300
Median Home Value
Market
Vacancy Rate% for Office in West region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Mixed-use property - Historic corner property combines professional office space with a separate residential unit and conversion potential under current zoning.
Where is this mixed-use property located?
The property is located at 603 Mission Street Santa Cruz, CA.
What is the asking price?
The asking price for this property is $2,535,000.
What are key features of this property?
This property features: 4,623‑square‑foot Victorian office building constructed in 1889; Six private offices plus meeting rooms, breakrooms, and 200 square feet of storage; Separate structure includes a legal residential unit above private office space
