Newport Beach, CA (October 7, 2019) – SRS Real Estate Partners’ National Net Lease Group has completed the $7.2 million ground lease sale of a parking lot adjacent to a Rite Aid store. The parking lot is ground leased to Rite Aid and was sold at full asking price which equated to a cap rate of 3.8 percent. Located at 900 S. Fair Oaks Avenue in South Pasadena, CA, the site totals just under 27,000 square feet.
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 buyer, a Southern California-based private investment company that was in a 1031 exchanges, was represented 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.”
The parking lot to Rite Aid is located in downtown South Pasadena along Fair Oaks Avenue, a retail corridor with 32,300 vehicles passing by daily. The site is a quarter mile away from the 110 freeway with direct on/off-ramp access. Nearby national/credit retailers include Vons, Pavilions, US Bank, and Chase, among others.
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.
About SRS Real Estate Partners
SRS Real Estate Partners is the largest real estate company in North America exclusively dedicated to retail services. Headquartered in Dallas with more than 25 offices worldwide, SRS’ strong reach and international presence provide the company with unparalleled knowledge both globally and domestically. As a result, clients of SRS have a competitive edge through a full range of offerings including brokerage services, corporate services, development services, and investment services. Since its inception in 1986, SRS has built a strong foundation in the retail real estate world and grown into one of the industry’s most influential and respected leaders. Our success is measured in the achievement of our clients’ objectives, satisfaction and trust. For more information, please visit srsre.com.
SRS’ 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 2018, the group completed more than 300 sales across more than 35 states and has over 50 NNLG 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.i