Newport Beach, CA (June 12, 2023) – SRS Real Estate Partners’ National Net Lease Group (NNLG) announced today it has completed the $5.1 million record-breaking sale of a 1,008-square-foot single-tenant property occupied by Starbucks. Built in 2021, the property is situated on .4 acres at 801 E. Manchester Boulevard in Inglewood, CA. The property is walking distance to SoFi Stadium, The Forum and the under-construction Intuit Dome. The closing cap rate was 3.92% and the price per sf was $5,060, which is a record high price per square foot paid for any Starbucks-occupied asset on a national basis according to CoStar records.
SRS NNLG’s Vice President Brian Wolfman and Senior Associate Zach Leffers represented the seller, a Los Angeles-based private investor. The buyer, a Los Angeles-based family office, was represented by David Oberg and Zach Ordin of DLO Realty Group.
“While the current cap rate climate is trending upwards, we were able to drive pricing on this asset due to the investment grade tenancy with 13 years remaining on the absolute corporate-guaranteed lease structure as well as the extremely strong underlying real estate,” said Wolfman. “The SRS NNLG team ran a full-scale marketing process and sourced a local family office buyer who was drawn to the property’s stellar fundamentals and zero landlord responsibilities.”
The sale of this Starbucks property highlights SRS’s unique capabilities to utilize both the SRS leasing team and the SRS NNLG capital markets divisions. In 2021, Zach Leffers represented the seller on the execution of the Starbucks lease which involved a full, down to the stud remodel of an existing restaurant in order to preserve the drive-thru zoning. Starbucks built a state-of-the art drive-thru site at this well-located, high traffic Inglewood location. Additionally, the City of Inglewood is working on a proposed tram line adjacent to the site which if instituted, will greatly increase foot traffic providing greater synergy to the already strong location.
There are more than 890,000 residents and 325,000 employees within five miles of the property in addition to the influx of visitors attending events at the major venues located across the street.
In 2022, SRS’ Investment Properties Group (IPG) and National Net Lease Group (NNLG) completed more than $2.8 billion in deal volume comprised of 705 transactions in 49 states. SRS currently has in excess of 550 properties actively on the market with a market value surpassing $2.8 billion.
About SRS Real Estate Partners
Founded in 1986, SRS Real Estate Partners is building upon its retail foundation to provide extensive commercial real estate solutions to tenants, owners, and investors. Headquartered in Dallas, with more than 25 offices in the U.S., SRS has grown into one of the industry’s most influential and respected leaders. Our commitment to excellence is strengthened by our Guarantee of Value and our success is measured in the achievement of our clients’ objectives, satisfaction, and trust. For more information, please visit srsre.com.
SRS’ Investment Properties Group (IPG) & National Net Lease Group (NNLG) is a unified platform of seasoned net lease professionals located and transacting nationally with all underwriting and marketing efforts strategically located in Southern California. In 2022, the group completed more than 705 sales across 49 states and has over 160 brokerage professionals nationally. From proactive sales to targeted acquisitions and tailored debt and equity solutions, SRS’ National Net Lease Group offers comprehensive services to net lease owners and investors. Superior speed-to-market, world-class marketing materials, a deep investor database and unparalleled retail submarket intelligence from the entire SRS platform allow SRS’ National Net Lease Group to deliver the best possible returns. For more information, please visit srsre.com/national-net-lease-group.