Investment Overview

Marcus & Millichap is pleased to present for sale a 5,160-square-foot multi-tenant retail strip center situated along Rosemarie Lane in Stockton, California. The property is 64 percent occupied by four local tenants, with two suites available, offering an investor both in-place income and immediate upside through lease-up of the vacancy. Positioned on Rosemarie Lane in north Stockton, the property benefits from steady visibility and traffic flow, with approximately 8,169 vehicles per day passing directly in front of the property. It is surrounded by established residential neighborhoods, providing a built-in customer base and consistent demand for everyday services. Constructed in 1979 on a 0.34-acre parcel, the property features six suites along with on-site customer parking. Three of the four tenants occupy on a month-to-month basis, giving a new owner significant flexibility to mark rents to market, execute longer-term leases with annual increases, and restructure lease terms to recapture operating expenses. The tenant mix includes a catering kitchen, Jay Cutt Em’s Barbershop, Ink City, and Keep It Lit Smoke Shop. The catering kitchen, the largest tenant, occupies 1,365 square feet, or 26.5 percent of the center, with a lease that commenced in July 2023 and runs through June 30, 2028. Jay Cutt Em’s Barbershop occupies 700 square feet, or 13.6 percent, and has been in place since March 2021. Ink City occupies 650 square feet, or 12.6 percent, and has been in place since September 2022. Keep It Lit Smoke Shop occupies 600 square feet, or 11.6 percent, and has been in place since March 2021. The remaining two suites, totaling 1,845 square feet and representing 35.8 percent of the gross leasable area, are currently vacant and underwritten at $1.50 and $1.65 per square foot modified gross, providing a new owner an immediate opportunity to increase cash flow. Stockton, the seat of San Joaquin County, is one of the largest cities in California’s Central Valley. It offers direct access to Interstate 5 and State Route 99 and sits within commuting distance of Sacramento and the Bay Area. The population within a three-mile radius exceeds 164,000, and within five miles surpasses 314,000, ensuring a robust customer base and steady demand for neighborhood retail and services. This property offers investors a unique opportunity to acquire a well-located neighborhood retail center with in-place income, a flexible month-to-month rent roll, and near-term upside through lease-up and rent growth. The combination of established local tenancy, multiple value-add levers, and a dense surrounding population creates a compelling investment in the Stockton market.