ENCINITAS — A local property developer has purchased a fully leased retail building in downtown Encinitas that had remained in the same family’s ownership for more than six decades.
RAF Pacifica Group, or RPG, purchased the 4,939-square-foot property encompassing 548 to 568 South Coast Highway 101 in an off-market transaction first reported by Rentv. The building is part of the Highway 101 shopping district, a retail corridor near Moonlight State Beach.
The property is home to five tenants — three retail shops and two restaurants — including Coco Rose Beach and Resort Wear, Kim’s Alterations, 101 Diner, Q’ero and Ocean Time.
Adam Robinson, president of RPG, told The Coast News that the property sold for $4.7 million and represents the type of investment that fits well with his firm’s approach.
“Since I’ve lived here for almost 25 years, it’s nice to own things I understand and drive or walk past every day,” Robinson said.
To that end, Robinson said the firm has hired an architect to explore “facade enhancements,” such as larger storefront windows, but has no plans to add square footage as part of a major renovation project.
Robinson said it was important to him to “keep the character” of the vibrant downtown Encinitas community.
He added that maintaining the character of Encinitas has been an important consideration in other projects at RPG-owned properties, including Raul’s Shack Mexican Food, Gelato 101, Pacific Station Condos and the Captain.
“I really like stuff in Encinitas,” Robinson said. “It doesn’t trade often.”
When one of the property’s tenants contacted him about the owner’s desire to sell, Robinson said he knew he had to act quickly. The property had remained in the same family’s ownership for more than 60 years.
“The seller told me what he wanted to not go to market and we just accepted the price,” he said. “We’re not trying to haggle over a few more dollars.”
Robinson said that “even though I’m a developer,” he opposes using the state’s density bonus law or similar provisions to develop properties that are taller or otherwise out of place in their surroundings.
Robinson said his familiarity with North County, and Encinitas in particular, helps inform such decisions. He pointed to RPG bringing fitness studio SweatDreams to the downtown Encinitas Highway 101 corridor, where health and wellness are already prominent interests.
He said understanding the local market and community interests allows him and RPG to use their properties to “add to the community vibe.”
Robinson added that the plan is to retain the property’s current tenants, including one whose lease expires at the end of the year. He said RPG is already working to renew that lease.
“Some people are not buying in the towns they live in,” Robinson said. “I like seeing what’s going on in Encinitas – some good development, some bad development – but I like being able to maintain some of our downtown character.”
