2012 saw a segmented Tri-Valley retail market, with new construction projects like Paragon Outlets, Pleasanton Gateway, and Fallon Gateway achieving high rents, but much of the market remaining stagnant. Vacancy rates increased slightly overall. Demand remained strong for newer class A retail properties, as seen in the sales of several centers. Downtown vacancy rates remained lower than other areas of the market.

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SUMMARY MARKET SNAPSHOT
2012 was reminiscent of a middle school dance, patches of activity mingled with
awkward progression. The market remained segmented, new construction being the Livermore
biggest star of the year. Paragon Outlets, Pleasanton Gateway, and Fallon Gateway all Total Inventory: 1,980,395
fetched incredible rents, the highest ever seen. Meanwhile, the rest of the retail market Total Available: 221,406
remained plagued by a lack of emerging, growing, and new businesses. This stagnant Total Absorption 2012: -38,006
activity was expected, after all, it was an election year. Vacancy Rate 4Q12 & % Change From 4Q11: 11.17% (+1.12%)
Another growing trend of 2012 included the sale of net leased investments. A num- Pleasanton
ber of centers traded hands and not because there was a bargain to be had. Paragon
Outlets, Pleasanton Gateway, The Shops at Waterford, along with a few strip centers all Total Inventory: 2,112,427
sold within the year at around six percent capitalization rate. The demand for newer Total Available: 183,674
construction, class A retail properties is alive and well. Wondering about those bank Total Absorption 2012: -10,949
owned properties? With few exceptions, the Tri-valley retail market has yet to see Vacancy Rate 4Q12 & % Change From 4Q11: 8.69% (+0.18%)
foreclosures or bank owned properties come to market.
-Jessica Mauser, Associate & Retail Specialist
Dublin
Total Inventory: 2,772,678
HISTORIC VACANCY RATES Total Available: 321,790
Total Absorption 2012: +11,413
Vacancy Rate 4Q12 & % Change From 4Q11: 11.61% (-2.28%)
San Ramon
Total Inventory: 1,650,478
Total Available: 107,560
Total Absorption 2012: +30,338
Vacancy Rate 4Q12 & % Change From 4Q11: 6.52% (-1.84%)
Danville
Total Inventory: 958,424
Total Available: 37,949
Total Absorption 2012: +27,179
Vacancy Rate 4Q12 & % Change From 4Q11: 3.95% (-2.41%)
RECENT TRANSACTIONS
DOWNTOWN VACANCY COMPARISON
Tenant City Center SF Date
7-11 Dublin Dublin Crossroads 2,700 Q3
ITrim San Ramon Crow Canyon Comm. 6,805 Q4
Ascona Pizza Pleasanton Pleas. Gateway 3,220 Q3
Buyer Seller Center SF
Simon Prop. Paragon Paragon Outlets 512,000
Invesco Property Dev. Centers Pleasanton Gateway 129,000
CSL Investments Cathay Bank 1601 Railroad Ave. 12,640
DOWNTOWN VACANCY COMPARISON
Livermore
Total Inventory 395,357
Total Available 25,558
KEY TERMS & DEFINITIONS Vacancy Rate 6.46%
Inventory: Total square footage of retail space in the market not including malls and
downtown storefronts
Pleasanton
Total Inventory 402,860
Availability: Square footage that is marketed for lease which is available within 90 days. This Total Available 22,685
also includes sublease space.
Vacancy Rate 5.63%
Absorption: The change in availability from the previous year.
Vacancy: The percent of available space based on the total inventory. Danville
Total Inventory 431,485
Triple Net Expenses (NNN): A lease agreement where the Tenant is responsible for their
proportionate share of taxes, insurance, maintenance and building repairs. Triple Net Total Available 17,115
Expenses are in addition to base rent. Vacancy Rate 3.97%
Lee & Associates maintains an up-to-date database of all available properties and sold/leased properties.
For more local commercial real estate news, insight, and gossip visit me at www.thestorefront.wordpress.com

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Exclusive Lee Listings
FOR LEASE FOR SALE FOR LEASE
Livermore Valley Plaza Multi-Tenant Retail Strip Arroyo Plaza
Downtown Livermore 7000 Village Parkway North Livermore Ave.
Recently Completed Lee Deals
LEASED! LEASED! SOLD!
Home Depot Center Waterford, Dublin 53 Manor Drive
Super Cuts Armadillo Willy’s Investor Purchase
Lee & Associates - Your Retail Connection
Since 1979, our seasoned, motivated shareholders and professionals have been offering comprehensive quality service nationally and locally in a pro-active manner.
We develop customized solutions for all of your real estates needs through our market-to-market knowledge in all property types. Our unique business model and
extensive experience has helped us become one of the largest commercial real estate providers in the United States.
Services Offered:
Market Value Analysis Building Optimization Investment Sales
Site Search Landlord Representatio n Tenant Representation
Retail - Office - Industrial
RETAIL OFFICE INDUSTRIAL
The Lee Retail Team is experienced in both Tenant and
Landlord representation and has been active in the Easy Bay
commercial real estate market for a combined 17 years. As
5890 Stoneridge Drive, Suite 210 retail specialists, they have worked with a number or local
Pleasanton, CA 94588 restaurants, retailers, and landlords in sales and leasing of
(925) 460-6200 shopping centers and storefronts.
(925) 460-6210 John Blatter Jessica Mauser Tim Willet For the most up to date market information, follow Jessica
www.lee-associates.com Retail Specialist Retail Specialist Retail Specialist
on her blog www.TheStrorefront.wordpress.com.
* The property information/detail contained herein has been provided by the seller/lessor or has been obtained from other sources believed to be reliable,
and Lee & Associates - East Bay, Inc. has not independently verified such information’s accuracy. Lee & Associates - East Bay, Inc. makes no representations,
guarantees, or express or implied warranties of any kind regarding the accuracy or completeness of the information provided herein nor the condition of the
property and expressly disclaims all such warranties, including but not limited to the implied warranty of suitability and fitness for a particular purpose. Buyer/
Lessee should perform its own due diligence regarding the accuracy of the information upon which buyer/lessee relies when entering into any transaction
with seller/lessor herein. Further, the information provided herein, including any sale/lease terms, are being provided subject to errors, omissions, changes of
price or conditions, prior sale or lease, and withdrawal without notice.
* CoStar sourced for portion of market data
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