July 3, 2019 – SRS Real Estate Partners’ National Net Lease Group has completed the $2.495 million ground lease sale (land ownership) of a single-tenant 6,384-square-foot freestanding property fully occupied by Longhorn Steakhouse located at 2400 N. Monroe Street in Tallahassee, FL.
SRS’ National Net Lease Group Executive Vice President Patrick Nutt represented the seller, a New York-based investment group. The buyer, a Florida-based private investor was represented by Alan Lipsky of Marcus & Millichap. The closing cap rate was 5 percent.
SRS secured a strong buyer and a below-market cap rate for a Longhorn Steakhouse-occupied asset,” said Nutt. “The seller acquired the ground lease recently and was able to add value by extending the tenant’s corporate-guaranteed lease by 14 years as testimony to the location and the restaurant’s strong sales numbers. Overall, this asset offered great real estate fundamentals on over one-acre of land at highly visible intersection.”
Built in 1992, the property is located just one-mile south of Interstate 10 and offers more than 170,000 residents and 149,000 employees in the trade area. Additionally, it is directly across the street from The Centre of Tallahassee, a semi-enclosed mall with more than 747,000 square feet of retail space with tenants including AMC Theatres, Belk and Ross. Additionally, the site is 2.5 miles from Florida State University which has more than 42,000 students in attendance.
SRS’ National Net Lease Group successfully completed more than 300 sales in 2018, across 35 states nationwide, and has over $1 billion in assets currently listed for sale.