How Do You Sell a Residential Property Zoned Commercial? The Strategy Behind Closing 2100 Sisley Rd in Penryn
- kwellsgroup
- Feb 27
- 2 min read
The Challenge
How do you sell a residential property that is zoned commercial? We just closed on 2100 Sisley Rd in Penryn — and this one required real strategy.
The property had been used as a personal residence for nearly 50 years, but it was zoned commercial and consisted of two separate legal lots — one with the residence and one vacant commercial lot.
From the beginning, we knew this wasn’t a typical sale. We built a custom marketing strategy designed to attract the ideal buyer — someone who understood both the residential and commercial potential.
The Result
This resulted in four strong offers, all over asking, and we ultimately closed at $636,000, which was $36,000 above the original list price.
The buyer with the strongest offer and terms planned to live in the residence while building a commercial space for their business on the vacant lot. The challenge: they were using a residential loan, and residential loans do not finance vacant commercial land.
The Solution
The best solution ended up being separating the purchase agreements — one for each lot.
We allocated the majority of the purchase price to the lot with the residence so it could qualify for conventional primary residence financing.
The vacant commercial lot was sold with a separate agreement at a correlating reduced price.
The Net Result
The sellers achieved the same overall purchase price.
The buyer secured favorable conventional financing.
And the transaction closed successfully.
Key Takeaways
Zoning, lot configuration, and financing guidelines don’t have to kill a deal — but you have to understand how they interact. Instead of letting financing limitations shrink the buyer pool, we created a path forward.
Every unique property requires more than just marketing. It requires strategy.
If you’re selling a property with unusual zoning, multiple lots, or mixed-use potential, the marketing gets attention — but structure is what gets it closed.
Kyle Wells, Realtor®
KWells Group Real Estate
Brokered by eXp Realty of California, Inc.
915 Highland Pointe Dr STE 250
Roseville, CA 95678
📞 916-778-8659
DRE #02145088
Serving Roseville, Rocklin, Loomis & surrounding Placer County communities
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