Newport Beach, CA – SRS Real Estate Partners’ National Net Lease Group (NNLG) announced today it has completed the sales of two single-tenant retail properties totaling $6.17 million that are outparcels to Country Fair Shopping Center in Chino, CA. The sales included quick-service-restaurant assets occupied by Wienerschnitzel and Carl’s Jr. and were part of a break-up strategy SRS conducted on behalf of the seller in order to maximize overall value.
SRS NNLG’s Managing Principals Matthew Mousavi and Patrick Luther represented the seller, a Southern California-based private investor. The properties were sourced by SRS’ unrivaled investor database and were sold to separate California-based private investors who paid all-cash.
Country Fair Shopping Center is a 168,000-sf regional center anchored by Albertson’s, PetSmart and Rite Aid. It is located on Central Avenue, a primary commuter thoroughfare with nearby direct on/off ramp access to State Highway 60.
“Breaking up the two assets to sell separately created a larger potential buyer pool, maximizing the ultimate value for each property,” said Mousavi. “We were able to secure two separate all-cash buyers quickly after going to market, one at a 3.75% cap rate on Wienerschnitzel, the other at a 4.00% cap rate on Carl’s Jr, with the latter being a non-1031 exchange buyer. These sales are testimony that buyers are still paying aggressive cap rates for well-located investment properties with strong fundamentals.”
Wienerschnitzel is located at 11901 Central Avenue and sold for $2.44 million. The 1,600-square-foot property was built in 1976 and is situated on .37 acres. The tenant has approximately seven years remaining on its corporate lease. At a 3.75% cap rate, the property sold for the lowest cap rate ever for a Wienerschnitzel property in the Inland Empire as well as a record low cap rate ever for a QRS asset in Chino.
Carl’s Jr. is located at 12005 Central Avenue and sold for $3.726 million. The 3,796-sf property was built in 2016 and is situated on .39 acres. The property sold for a 4% cap rate and has about 12 years remaining on its corporate lease.
In 2021, SRS’ Investment Properties Group (IPG) and National Net Lease Group (NNLG) completed more than $3.1 billion in deal volume comprised of 899 transactions in 49 states. SRS and currently has more than $2.5 billion in property on the market, with more than 590 properties sold year-to-date valued in excess of $2.3 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.
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 2021, the group completed more than 899 sales across more than 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.