Investment Overview

San Marcos Terrace Estates is a 9-unit apartment complex in the heart of the San Marcos metro area. In the last few years several properties in the immediate area have been torn down and new properties built. The area is definitely in the middle of a major gentrification process. All units are 2Bed1Bath, current ownership has made many exterior cosmetic upgrades to the property. The previous owners renovated the unit interiors, and they remain in very good condition. San Marcos is a unique city in that it is very upscale and progressive like many beach towns in Southern California. This can be attributed to a progressive local government as well as the presence of CAL STATE UNIVERSITY as well as PALOMAR COLLEGE. The City of San Marcos actively recruits planners, engineers, and development professionals to help guide growth and infrastructure projects. San Marcos benefits from a diverse and dynamic job market with growth in sectors like education, healthcare, technology, and planning and development. The rapid pace of this ongoing development signals investor confidence, while a mix of commercial and housing types supports community diversity and affordability. The metro population is more youthful than the nation, with a median age of 34.9 years. Many of the younger cohorts come to San Marcos for education and job opportunities and stay. The large concentration of college graduates has positive implications for the local economy. San Diego’s population has become increasingly affluent. Since 2000, the number of households earning $150,000 per year or more has doubled and these numbers continue to increase rapidly. This growth is largely the result of higher education attainment and growing number of high-end, white-collar jobs, especially those in the biotech industry. Stable economic growth and steady appreciation over the past few years is lifting investor confidence, luring more buyers to San Diego County. Consequently, competition for apartment properties is fierce, generating multiple offers for sellers within a short time frame. San Marcos is pursuing designation as a “BLUE ZONE”, meaning it’s working to become a place where residents live healthier, longer lives through intentional community design and wellness programs. This initiative highlights the city’s proactive approach to wellbeing, something that can attract residents and businesses alike. San Marcos has a population of approx. 94,000 people, with a growing median household income of over $105,000-up nearly 6% from the previous year. Median property values also continue to rise rapidly.