- What A retail and residential rental building in Vancouver’s entertainment district has had a price drop
- Why Existing net income translates to a 4.99% capitalization rate
- What next More development on the Granville strip is expected to add foot traffic to the already busy area
The price for a mixed-use building with redevelopment potential in downtown Vancouver has been dropped to $12.5m, another decrease from the initial $13.5m asking price.
Corbel Commercial has the marketing assignment for the three-storey building at 1033-1039 Granville Street. The 14,000 sq ft property has three restaurant/retail units on the first floor and eight three-bedroom residential units on the next two floors.
According to marketing materials, net income is $624,000, which translates to a 4.99% capitalization rate. At the projected net income of $667,000, the cap rate would be 5.3%. Tenants include Skewers Middle Eastern Cuisine and a BB.Q Chicken & Pub.
The apartments, ranging from 822 sq ft to 924 sq ft, are fully renovated and have hardwood floors and ensuite laundry.
The building has about $5.8m of assumable debt. The loan carries a 2.78% interest rate and matures in December 2025.
Located in the city’s entertainment district, the building is near some of the top entertainment attractions, such as the Orpheum Theatre and Commodore Ballroom.
The campaign notes more development is planned in the already busy Granville area, including a 35-storey hotel expected to add to foot traffic.
