IRVINE, Calif., March 31, 2020 – Faris Lee Investments, a leading retail advisory, and investment sales firm has completed the $9.5 million sale ($841 PSF) of a 6-tenant restaurant pad building at Restaurant Row in Victorville, CA. The property totals 11,300 square feet and is located at 11604 Amargosa Road.
Jeff Conover, senior managing director and Chris DePierro, managing director at Faris Lee Investments represented the seller, a California-based developer and sourced a foreign 1031 Exchange buyer, Tutto, USA, LLC from a Los Angeles-based Commercial Real Estate broker. The transaction closed at a 5.75% cap, one of the lowest cap rates in Victorville within the last 5 years.
The newly constructed (2017), drive-thru restaurant oriented property is located directly off the high desert artery Interstate 15 at Bear Valley Road. Restaurant Row is 100% occupied by recession-proof national tenants with corporate executed leases: Starbucks, Nekter Juice Bar, Which Wich, Pieology, Ono Hawaiian BBQ, and Cafe Rio.
Faris Lee’s marketing strategy focused on the internet resistant and recession-proof quick-serve national restaurant tenants with long term NNN leases and consequent rental increases; the strong demographics; as well as the economic growth of the trade area. “The Long term corporate NNN leases provided an investor with long term security and stability while increasing the investor return on investment over the hold period,” said Conover.
“The property sits in the retail hub of the Victor Valley and captures consumers travelling on the 15 Freeway, from nearby Hotels, and retailers like Walmart Super Center and Lowes. The Trade area will continue to expand in the next few years with the development of multiple single family residential projects in the City of Victorville and surrounding communities,” said DePierro.
The property was listed with another agent before Faris Lee Investments was hired. “Faris Lee’s premium marketing strategy targeted strip center owners, private investors, 1031 exchange buyers, and outside brokers nationwide. Ultimately, we secured a 1031 exchange buyer that had minimum days left in the exchange to execute on the transaction.” “We helped secured the financing with a Korean Lender and closed in the time allotted by the exchange, satisfying the lending needs of the buyer,” said Conover.
About Faris Lee Investments: Faris Lee Investments is a national leading retail advisory and investment sales firm. The company’s high-level retail investment advisors and sophisticated financing experts develop forward-thinking strategies for all retail acquisitions and dispositions and guide clients through complex transactions. Through its recent strategic affiliation with X-Team Retail Advisors, a nationwide partnership of seasoned retail leasing experts, Faris Lee offers a fully integrated platform with disciplined expertise in landlord leasing, tenant representation, capital markets, and investment sales to maximize value for clients.
For more information, visit www.farislee.com