Investors pay $1.55M for local office complex

Despite a decline in some area real estate prices, investors still see value in commercial property in western Nevada County.

On Tuesday, it was announced that a San Francisco real estate investment company had purchased the 12,000-square-foot Miners Village office complex in Nevada City for $1.55 million.

The property that looks down on Deer Creek was listed for just three months, said Lock Richards, the broker who handled the transaction.

"Everything in the Bay Area is so picked over, so they start looking at the tertiary markets," said Richards, of Sperry Van Ness/Highland Commercial in Nevada City.

The company, Virtu Commercial, first looked at the Thompson campus, where the Grass Valley Group is located, before deciding to purchase the smaller Miners Village property, Richards said.

"They really were enthused by the town when they were looking around," he added.

Miners Village was purchased from the Kibbe Trust, a fund established by a retired Nevada County couple, Richards said. The four-building complex has 26 office suites occupied by a variety of businesses, including therapists, social service workers, a Tarot card reader and at least one lawyer and real estate office.

Work began on Miners Village in 1979, and it opened in fall 1980 as a complex for retail and offices. It is located just off the intersection of Boulder and Sacramento streets and next to the Dos Banditos bar and restaurant.

Richards said the new owners plan to do some work on the office complex, including possibly replacing a large redwood deck that sits in the center of the multi-leveled structure.

While home sales have dropped off in recent months, commercial property in this area continues to draw interest, Richards said.

"The commercial side is leveling off, but there's still action and buyers if the price is OK," Richards said.

To contact Staff Writer Pat Butler, e-mail pbutler@theunion.com or call 477-4239.