San Clemente is a city in California that is part of Orange County. In 2010, it had a population of 63,522, according to the U.S. Census. It is situated along the coast of California, in between San Diego and Los Angeles. It is popular because of its beautiful views made up of mountains, hills and the ocean; its Spanish Colonial architecture; and its pleasant climate. It is often called the “Spanish Village by the Sea”.
As of 2010, 64% of all residential properties were owner-occupied while 36% were renter occupied. There was a 1.3% vacancy rate for homes and a 5.8% vacancy rate for rental properties. The census also noted that the median household income was $87,184, which was slightly smaller than the income in 2000, which was $87,200. It was also noted that 7.9% of the residents were living below the poverty line.
Several corporate headquarters can be found in the city. These include medical device manufacturers Cameron Health and ICU Medical; fast casual Asian food producer Pick Up Stix; premium sandals manufacturer Rainbow Sandals; manufacturer of automotive software, DealerSocket; traffic safety device manufacturer, TrafFix Devices, Inc; and sock and underwear brand Stance Socks. These companies provide many of the city’s employment opportunities. Other top employers include various educational departments and establishments, restaurants, the retail industry, and the local government. Additionally, there is a new shopping center in San Clemente. The Outlets At San Clemente is an outdoor, open roof mall with various discount brands.
San Clemente Warehouse Building for Sale & Lease – Should You Buy or Lease?
If you are interested in warehouse space in San Clemente, you can either buy or lease.
Looking first at buying warehouse space, the benefits include the fact that:
- Your monthly costs won’t change for the duration of the mortgage.
- You can claim a number of tax deductions, including property taxes and mortgage interests.
- You can rent out some of the warehouse space to another party, to produce extra income stream.
- The value of the warehouse property is expected to increase over time.
However, the disadvantages of buying include the fact that:
- If your business contracts or grows far much faster than expected and you need to relocate, you will need to sell the property first and this takes some time.
- You have much higher initial costs. You have to pay at least a 30% down payment on the mortgage. You also have to pay for maintenance, appraisal, and other property costs.
Your other option is to lease warehouse space, which has several benefits, including the fact that:
- It is possible to get a prime warehouse space, which can help with your reputation.
- You have more working capital left because you have much lower initial costs.
- You can run your business without being bothered by issues that often come with property ownership.
As to the downsides of leasing warehouse space, these include the fact that:
- Your monthly expenses will increase because it is natural for rent to increase.
- You do not benefit from the rising value of the property, since you don’t own it.
To help you decide between the two options, being aware of the trends and statistics in terms of prices, supply, and demand, can be helpful.
San Clemente Warehouse Property for Sale – Trends and Statistics
- The asking prices for warehouse properties in San Clemente in dollars per square foot is $222.13, which is a 2.7% increase over the past three months, and a 10.9% increase year on year. This is higher than the metro ($195.29) area and state ($142.69) area.
- The index of total dollar available warehouse properties for sale in Los Angeles-Long Beach-San Clemente is 28, which represents a 6.7% increase over the past three months but a 2.9% decrease year on year.
- The index of total number of listings of warehouse properties available in Los Angeles-Long Beach-San Clemente is 26, which is a 7.7% increase over the past three months, and a 7.2% increase year on year.
- The profile view index warehouse property for sale in the Los Angeles-Long Beach-San Clemente metro area is 174, which is a 19.2% increase over the past three months, and a 30.9% increase year on year.
- The index of total square feet of available warehouse space for sale in the Los Angeles-Long Beach-San Clemente metro area is 26, which is a 0.2% decrease over the past three months, and an 18.8% decrease year on year.
San Clemente Warehouse Property for Lease – Trends and Statistics
- The asking rent for warehouse properties for lease in San Clemente in dollars per square foot per year is $12.93. This represents a 1.3% increase over the past three months, and a 10.1% increase year on year. This is higher than the state ($10.31) area, but lower than the metro ($11.75) are and county ($12.93) area.
- The index of total number of warehouse spaces for lease in the Los Angeles-Long Beach-San Clemente area is 34, which represents a 0.5% decrease over the past three months, and an 11.9% decrease year on year.
- The profile view index for warehouse properties for lease in the Los Angeles-Long Beach-San Clemente area is 128, which is a 51.9% decrease over the past three months, and a 43.5% decrease year on year.
- The index of total square feet of warehouse space available for lease in the Los Angeles-Long Beach-San Clemente area is 29, which is an 8.7% decrease over the past three months, and a 20.8% decrease year on year.