A private investor has sold La Mesa Mixed-Use, a 12,196-square-foot mixed-use property in San Diego, in a transaction brokered by Marcus & Millichap. The asset traded for $2,300,000, ending what the brokerage described as decades of ownership by the seller.
According to Marcus & Millichap, the seller chose to exit after a long hold in order to unlock accumulated equity and move on to a new phase of their investment strategy. The firm reported that the business plan for the property had been shaped by years of below-market rents and short-term leases, factors that helped position the asset as a value-add opportunity for prospective buyers.
Marcus & Millichap director of investments Ross Sanchez, based in the company's San Diego Del Mar office, said that this value-add profile drew interest from multiple bidders. Sanchez noted that the combination of existing lease terms and rent levels created a story that resonated with investors seeking upside through active asset management and leasing. The interest culminated in a sale to a private buyer, also represented by Marcus & Millichap.
Sanchez and Nick Totah, managing director investments in Marcus & Millichap's Del Mar office, jointly marketed La Mesa Mixed-Use on behalf of both the seller and the buyer. Their role encompassed positioning the asset to the private capital market and running a process that generated several offers before the parties finalized the transaction.
The property is located at 6760 University Ave. in San Diego, near San Diego State University. La Mesa Mixed-Use comprises 13 suites with a combination of office and retail uses. The layout is supported by ample parking, dual access points and high-visibility street frontage along a high-traffic corridor. The location sits within a dense infill environment, which contributes to the asset's exposure to both vehicular and pedestrian traffic.
Built in 1976, the property has not undergone major recent renovations, leaving the buyer with a clear path for value-add improvements. The mix of older physical plant, under-market rents, and short lease terms provides the potential for a new owner to reposition the asset over time. While specific plans for upgrades were not disclosed, Marcus & Millichap emphasized that the property's fundamentals and location near a major university underpin its long-term repositioning potential.
The transaction underscores ongoing activity among private investors in smaller mixed-use assets in infill San Diego locations. It also illustrates how long-term owners are using current market conditions to monetize embedded equity, while new buyers target properties where operational changes and potential capital investment can drive future performance.
