A SoCal-based private investment company paid $7.2 mil for a ground lease parking lot adjacent to a Rite Aid store in South Pasadena. The 27k sf lot is located at 900 S. Fair Oaks Ave, west of Arroyo Pkwy near the northern terminus of the 110 Fwy.
The parking lot to Rite Aid is located in downtown South Pasadena along Fair Oaks, a retail corridor with 32,300 vehicles passing by daily. Nearby national/credit retailers include Vons, Pavilions, US Bank, and Chase, among others.
Dan Elliott, Sean Lutz, Ara Rostamian, Matthew Mousavi and Patrick Luther of SRS’ National Net Lease Group, represented the seller, an out-of-state family trust. The 1031 exchange buyer was repped by Brandon Burns and Brandon Gill of Cushman & Wakefield.
“This ground lease opportunity is a rare find in a high barrier to entry market,” said Rostamian. “As there is limited parking in the area, Rite Aid is not able to operate without the parking lot. With approximately 17 years remaining in its current lease term, this acquisition provides the buyer with a stable, cash-flowing asset in a dense, infill market with a high-performing Rite Aid store.”