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For Sale: The Habit Burger Grill New Construction 15-Year Absolute NNN Lease

969 East Prosperity Avenue, Tulare, CA 93274

PROPERTY SIZE

3,100 SF

Property highlights

OFFERING SUMMARY

  • PRICE: $1,800,000
  • CAP RATE: 6.00%
  • NOI: $108,000
  • OWNERSHIP TYPE: Leasehold Interest (building & improvements, not land)
PROPERTY SUMMARY
  • ADDRESS: 969 East Prosperity Avenue, Tulare, CA 93274
  • TENANT: The Habit Burger
  • GLA: 3,100 SF
  • YEAR BUILT: 2018
HIGHLIGHTS
  • Leasehold interest sale (building and improvements) provides the owner with steady income, zero landlord responsibilities, and a 100% depreciable asset
  • Property is subject to a long-term ground lease of 60 years, including options, and qualifies for a 1031 exchange
  • Absolute NNN lease with no landlord obligations
  • 6.83% average cap rate over the 15 year lease
  • 110+ basis point discount for leasehold interest; average cap rate for Habit Burgers sold in 2017-2018 at 4.9%
  • Drive-thru location on hard corner with 98,000 vehicles per day
  • Situated on Tulare‚Äôs main commercial corridor with excellent visibility and signage

Broker

Rachel Kram

VICE PRESIDENT OF INVESTMENT SALES

(650) 445-4490

rkram@lockehouse.com

Kirk DeClark

VICE PRESIDENT OF INVESTMENT SALES

(650) 548-2664

kirk@lockehouse.com

David Kram

MANANGING DIRECTOR OF INVESTMENT SALES

(650) 445-4490

dkram@lockehouse.com

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