IRVINE, Calif., April 25, 2016 – Faris Lee Investments, a leading retail advisory and investment sales firm, has completed the $1.9 million sale of a freestanding, single-tenant property occupied by Chipotle Mexican Grill in Vallejo, Calif. (Bay Area). The property sold at cap rate of 4.2 percent – a record low for a freestanding Chipotle with less than 10 years remaining on its lease on a national basis.
Christopher DePierro and Jeff Conover of Faris Lee Investments represented the seller, River Rock, LLC, a private East Coast-based development company. The buyer was Northern California-based Kam Property Holding, LLC. The 2,240-square-foot property sold at a strong price per square foot of $848.
“We marketed this asset with a focus on a solid income stream and a prime real estate location, and ultimately garnered a total of ten competitive offers,” said DePierro. “We secured a 1031 exchange buyer who paid all-cash and closed in under 30 days despite the recent negative press on the tenant.”
Built in 2015 and located at 1195 Admiral Callaghan Lane, the property is situated on .45 acres. The property is part of a new retail development that includes Chick-fil-A and CVS Drug Store (which Faris Lee sold in mid-2015 at a 4.3 percent cap rate), and is at a busy intersection of Admiral Callaghan Lane and Columbus Parkway, which sees more than 51,000 vehicles each day.
About Faris Lee Investments: Faris Lee Investments is a 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. Cumulatively, Faris Lee’s leadership has been involved in more than $20 billion of transactions. Faris Lee's senior advisors are skilled in disposition and acquisition strategies, asset positioning and valuation, marketing, debt and equity structuring, strategic workout and REO solutions and execution. For more information, visit www.farislee.com.