High-Visibility Commercial/Residential
For Sale
$899,000
815 River Street, Santa Cruz, CA 95060
Unique live/work property with high traffic exposure and off-street parking.
Property Size879 SF
Price / SF$1,022
Days on Market416
Property Features for 815 River Street
General Information
Standard status
Active
Size
879 SF
Building Details
Year Built
1950
Listing Agency:
MIRITZ & BAILEY REAL ESTATE, INC
Listed By:
LINDA BAILEY
Source:
Corcoran
Added: Jun 19, 2025
Changed: Mar 16
Last Checked: Mar 16 at 9:09AM
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 MIRITZ & BAILEY REAL ESTATE, INC
Investment Insights
Based on property information with market context.
This 879 square-foot property, currently used as a residence, is zoned CC and ideal for a live/work setup or full commercial use. Situated on a high-traffic corner, it offers unmatched exposure, bringing customers directly to your door with built-in advertising due to the steady stream of drive-by traffic. The property features plenty of off-street parking, secured by a custom bamboo fence and remote-controlled gate, adding both convenience and privacy. Tranquil zen-like garden spaces provide a peaceful retreat. Inside, two bedrooms have been converted into one spacious primary, while an additional room off the living area could easily serve as a private office. Double-pane windows minimize street noise, and the home is thoughtfully set back from the road for added comfort. This property is a blank canvas ready to match your vision.
Key Highlights
- Zoned CC, ideal for live/work or full commercial use.
- High‑traffic corner location provides unmatched exposure** and built‑in advertising.
- Plenty of off‑street parking secured by a custom bamboo fence and remote‑controlled gate.
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
$31,413
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
3.49%
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%
$628,260
$628.3K
Cap Rate 7%
$448,757
$448.8K
Cap Rate 9%
$349,033
$349.0K
Market Conditions
NOI Build-Up for 879 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
$52.7K $60.00/SF
− Vacancy
−$2.5K −$2.82/SF
EGI
$50.3K $57.18/SF
− OpEx
−$18.8K −$21.44/SF
NOI
$31.4K $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%
$628,260
Cap Rate 7%
$448,757
Cap Rate 9%
$349,033
Alternative Uses
Best Use
Mixed Use
$448.8K
$392.7K – $523.6K
NOI $31,413 @ 7.0% cap · market cap 3.49%
Second Best
—
—
no second resolved use
Theoretical Best
Retail
$502.6K
$439.8K – $586.4K
NOI $35,183 @ 7.0% cap · market cap 3.91%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
59
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
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Live-work space - Unique live/work property with high traffic exposure and off-street parking.
Where is this live-work space located?
The property is located at 815 River Street Santa Cruz, CA.
What is the asking price?
The asking price for this property is $899,000.
What are key features of this property?
This property features: Zoned CC, ideal for live/work or full commercial use.; High‑traffic corner location provides unmatched exposure** and built‑in advertising.; Plenty of off‑street parking secured by a custom bamboo fence and remote‑controlled gate.
