SRS Real Estate Brings Buyer for Two Chick-fil-A Properties Totaling $15 Million in Southern California

Blended cap rate of 3.83% sets record for the lowest cap rates for Chick-fil-A-occupied properties sold year-to-date in the Western United States.

Newport Beach, CA (May 16, 2023) – SRS Real Estate Partners’ National Net Lease Group (NNLG) announced today it has completed the ground lease acquisitions of two Chick-fil-A assets totaling approximately $15 million. The assets are located in the Southern California cities of Palm Desert and Mission Viejo. The blended closing cap rate was 3.83%, marking the lowest cap rates for Chick-fil-A-occupied properties sold year-to-date in the Western United States.

SRS NNLG’s Managing Principals Matthew Mousavi and Patrick Luther represented the private buyer who is out of Southern California.

“Chick-fil-A-occupied assets continue to be highly coveted and sought after by net lease investors as a leading brand within the quick-service-restaurant sector. We continue to transact this credit throughout the country in the 3% to 4% cap rate range, showing the resiliency of this product type and this segment of the buyer pool despite overall market cap rate movements,” said Mousavi. “Our SRS team successfully brought the buyer to these properties as part of a larger requirement placed on its behalf. The long-term intrinsic value of these Southern California sites combined with zero landlord responsibilities will provide a passive investment with scheduled rent escalations.”

Following is information on each asset:

Mission Viejo, CA – Located at 27845 Santa Margarita Parkway, the 4,800-square-foot property is situated on just under one-acre. The newly developed asset has a 15-year, absolute triple net corporate guaranteed ground lease. The property is within an affluent south Orange County area with more than 47,000 housing units within a three-mile radius. Jimmy Slusher, Eric Shain and John Read of CBRE represented the seller, a local private investor.

Palm Desert, CA – Located at 73070 Dinah Shore Drive, the 4,738-sf property is situated on 1.63 acres and was developed last year. There is a 15-year absolute triple net absolute triple net ground lease in place. The property is within the new Monterey Crossing Shopping Center and is adjacent to the I-10 Freeway. Timothy Genske of CBRE and Bruce Bailey of The Bailey Group represented the seller, UCLA who had received the asset as a donation.

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

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