DWG Capital Group is pleased to present this exclusive retail investment opportunity in Berkeley, CA. This Class-A single-tenant NNN property offers a secure, long-term investment with 12 years remaining on the original 15-year absolute NNN lease. Featuring a 5.25% cap rate, this prime 1031 exchange asset is situated in a high-demand retail corridor with low historical transactional volume and a strong tenant mix.
Investment Summary
Situated in the heart of Berkeley, CA, this Class-A single-tenant NNN retail investment represents an exceptional opportunity for 1031 exchange buyers and investors seeking long-term stability and growth. The property, located at 2101 San Pablo Ave, is leased to Lavender Bakery & Café, a well-established and expanding regional tenant, with 12 years remaining on its original 15-year absolute NNN lease.
This turnkey investment benefits from zero landlord responsibilities, ensuring truly passive income. The high eight-figure lease guarantees provide exceptional security, making this a low-risk, high-reward asset. The lease features 2% annual escalations, ensuring long-term rent growth and income appreciation.
The asset sits in a high-barrier-to-entry retail corridor with limited transactional volume and strong tenant demand. The dense urban infill location is home to a mix of national, regional, and boutique tenants, making it a proven and desirable market for investors.
Originally built in 1927, the property underwent a full redevelopment in 2020, with additional upgrades in 2023, delivering superior Class-A retail space in absolute NNN condition. The Berkeley retail submarket maintains a low 4.8% vacancy rate, further supporting the strength of this investment.
This offering presents a rare opportunity to acquire a high-credit, long-term net lease investment in a supply-constrained, high-growth market.
Property Description & Market Information
Property Overview
• Address: 2101 San Pablo Ave, Berkeley, CA 94702
• Building Size: ±2,765 SF
• Lot Size: ±0.06 AC
• Zoning: C-1
• Year Built: 1927 (Fully Redeveloped in 2020 & Renovated Again in 2023)
Financial Highlights
• Price: $3,238,000
• Cap Rate: 5.25%
• Net Operating Income (NOI): $169,994
• Rent Structure: $5.12 PSF ($14,166/month)
• Escalations: 2% annually
• Lease Term: 12 Years Remaining (Originally a 15-Year Absolute NNN Lease)
Market & Location Strength Highlights
• High-Demand Urban Infill Location with low historical transaction volume
• Proximity to UC Berkeley (1.5 miles) and the waterfront (0.8 miles)
• WalkScore: 97% | BikeScore: 99% – Extremely high pedestrian and cycling accessibility
• Low 4.8% Retail Vacancy Rate – Demonstrating a strong, established market
Lease Strength & Security Highlights
• Absolute NNN Lease – No Landlord Responsibilities
• High Eight-Figure Lease Guarantees – Ensuring Stability & Security
• Two 10-Year Renewal Options – Extending long-term investment potential
Closing & 1031 Exchange Readiness
This high-credit, long-term net lease investment is an ideal fit for 1031 exchange buyers and private investors looking for stability, passive income, and strong tenant security in a prime Berkeley location. With recent reports available, this turnkey absolute NNN investment ensures a seamless transaction process.