1320 W BASE LINE RD
Fully leased multi-tenant retail investment in Hermosa Beach, California, offered at $1,500,000 at a 5.10% cap ($120,000 NOI). The 100% occupied property sits at the signalized intersection of Pacific Coast Highway and 5th Street, a premier coastal hard corner with approximately 58,624 vehicles per day and exceptional visibility from both streets.
The 10,000 SF, two-story building was constructed in 1959 and renovated in 2020. It sits on a 1-acre parcel zoned C-2 with 19 on-site parking spaces—a rare amenity for this beachfront market. Four tenants operate under NNN lease agreements with annual rent escalations of 3% to 5%. The anchor tenant, Baran's 2239, is a nationally recognized restaurant with multiple Michelin Bib Gourmand awards; it recently signed a five-year lease through February 2031 with 5% annual increases. The remaining tenants—Dream Nails, Purple Haze Smoke Shop, and Tacos El Goloso—represent a resilient mix of service and dining businesses. The property generates immediate, stable cash flow with minimal landlord management required.
Hermosa Beach's beachfront location and extremely limited retail development opportunities create strong barriers to entry and long-term value preservation. The combination of high traffic exposure, diverse tenant mix with contractual escalations, and scarcity of commercial space along Pacific Coast Highway supports consistent income growth and inflation protection.
- 100% occupied, four-tenant NNN portfolio with $120,000 annual NOI
- Anchor tenant: Baran's 2239 (Michelin Bib Gourmand restaurant) through February 2031
- 58,624 vehicles per day; premier signalized hard corner on Pacific Coast Highway
- 19 on-site parking spaces; renovated 2020
- Beachfront Hermosa Beach location with limited retail development and strong barriers to entry
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Location
This fully leased retail investment offers immediate, stable cash flow from a 100% occupied property located at the highly sought-after signalized intersection of Pacific Coast Highway and 5th Street in Hermosa Beach. Positioned on a premier coastal hard corner with exposure to approximately 58,624 vehicles per day, the property benefits from exceptional visibility, convenient access, and full ingress and egress from both streets. A rare feature for this market, the asset includes approximately 19 dedicated on-site parking spaces, providing a significant advantage for both tenants and customers. The property is leased to four tenants under NNN lease agreements, generating approximately $201,624 in annual net operating income while requiring minimal landlord management. The tenant roster includes Baran's 2239, a nationally recognized restaurant with multiple Michelin Bib Gourmand awards, which recently signed a new five-year lease through February 2031 featuring 5% annual rent increases. Additional tenants include Dream Nails, Purple Haze Smoke Shop, and Tacos El Goloso, creating a diverse mix of service-oriented and dining businesses that are resilient to e-commerce competition. All leases include contractual annual rent escalations ranging from 3% to 5%, supporting consistent income growth and providing a strong hedge against inflation. Located within the highly desirable beachfront community of Hermosa Beach, where retail development opportunities are extremely limited, the property benefits from strong barriers to entry and long-term value driven by the scarcity of commercial space along Pacific Coast Highway.