107 Pebbly Beach Rd
Mixed Use | 5.06% CAP | 6,040 SqFt
Marketing description
Coastal Commercial is pleased to offer for sale a rare mixed-use fee simple property on the waterfront of Catalina Island, in the city of Avalon. Built in 2007, the building is one of the only newer construction assets in Avalon and is currently stabilized at a 5.06% cap rate. The three-story property consists of three retail units on the ground floor, three residential units on the second floor, and a residential penthouse with a rooftop deck on the third floor. The retail units are occupied by Brown’s Bikes (approximately 1,000 square feet), Dive Catalina (approximately 500 square feet), and Ciao-Baci Fine Gifts (approximately 700 square feet). All units are either occupied by the Seller or operate on month-to-month leases, providing flexibility for a new owner.
Brown’s Bikes operates under a highly valuable conditional use permit, as one of the few permitted bike shops on Catalina Island, where obtaining new permits is extremely difficult. The residential units are highly desirable and contribute strong income potential. Two of the second-floor units are permitted short-term rentals, each consisting of two bedrooms and two bathrooms at approximately 720 square feet. These units generate strong income due to high demand for waterfront vacation rentals. The short-term rental permits may be transferred once to a new owner. The remaining second-floor unit is a one-bedroom, one-bathroom residence of approximately 600 square feet, currently leased on a month-to-month basis.
The top-floor penthouse is a luxurious approximately 1,800 square foot three-bedroom, three-bathroom residence, currently occupied by the Seller, and features an exclusive rooftop deck with sweeping views of the Catalina Harbor. All residential units offer private balconies with ocean views.
This property represents a rare opportunity for an investor or owner-user to acquire one of the only fee simple waterfront assets on Catalina Island. Ideally located along a primary pedestrian corridor, the property is among the first seen by visitors arriving via the Catalina Flyer and Catalina Express. With its irreplaceable location, strong in-place income, and long-term appreciation potential, this offering represents a true generational asset.
Investment highlights
- Trophy Asset - Rare opportunity to acquire an irreplaceable waterfront fee simple property on Catalina Island in an extremely high barrier-to-entry market, stabilized at a 5.06% cap rate.
- Potential Owner/User Flexibility - The property can be enjoyed by an owner/user looking to utilize any of the residential units and/or take advantage of the existing profitable businesses inside the building
- Excellent Location – The subject property is located in the heart of Catalina Island on Pebbly Beach Road which flows into Crescent Ave, the Main Street Surrounding Avalon Bay.
- High Foot Traffic - Property benefits from being the first building that the thou-sands of visitors encounter as they walk into the village of Avalon after arriving at the Cabrillo Mole Landing on one of the many Catalina Express or Catalina Flyer, high-speed ferries
- Panoramic Ocean Views - The three-story building has breathtaking views from every unit, especially the 2nd floor balconies, third floor balcony, and rooftop deck
- Rare Short-term Lodging Permit - The property benefits from two short-term lodging permits for two residential units (2-bedroom 2-bath units). This creates an opportunity to generate high annual income from both of the short-term lodging units
- Dense Tourism Market - Catalina Island Brings More than 1 Million Visitors per Year and is Home to Many Points of Interest Including Descanso Beach Club, Catalina Island Museum for Art & History, Wrigley Memorial & Botanical Gardens, Casino Point Drive Park, Lovers Cove Marine Preserve, the Catalina Casino, Biking, Beaches and Tours
- Easy Access - Catalina Island is easily accessible from both Los Angeles and Orange county, the travel time to and from the island is approximately a 1-hour boat ride or 15-minute helicopter flight. The subject property is just .1 mile from those arriving in Avalon via high speed ferry docking at the Cabrillo Mole Boat Landing.
- Opportunity to Acquire a Successful Business in a Dense Tourism Market
Listing Contacts
Valuation Calculator
Valuation Metrics
Map
Broker Selected Comps View More Comps
Property History
Tax History
Similar Properties
Additional Information
Is there information that looks off?
