HRI DEVELOPMENT SELLS NEWLY CONSTRUCTED STARBUCKS FOR OVER $2,000/SF
HRI sold a 1.9k sf, single-tenant NNN-leased Starbucks drive-through in Norwalk to a 1031 exchange investor in a recent deal valued at $3.85 million. The transaction works out to $2,081/sf and had a cap rate of 4.15%.
Starbucks signed a 10-year, NNN corporate-guaranteed lease with four five-year options and 10% increases every five years throughout the primary term as well as option periods. HRI Development, had acquired the property for development in 2015.
Located at 14322 Pioneer Blvd, at Rosecrans Ave between I-605 and I-5, the property was originally a local diner called the Rosewood Family Restaurant, which had served the community for decades before closing their doors. It benefits from adjacency to a five-point intersection, which is surrounded by several national retailers, the Norwalk Town Square as well as more than 60,000 vehicles a day.
Ara Rostamian with Strategic Development Advisors represented HRI in the sale and also identified the purchase opportunity for HRI . Ted Weber and Alan Maciel of Pacific Union and Christie's International Real Estate represented the buyer in the deal.
