Del Taco For Sale

Highlights:

• 10+ Years of Lease Term Remaining The lease has more than 10 years of term remaining, offering long-term income stability and minimal rollover risk.
• Corporate-Backed Ground Lease The ground lease features a corporate guarantee by Del Taco, providing strong credit security behind the income stream.
• Absolute NNN Structure The tenant is responsible for paying all operating expenses directly, including real estate taxes, insurance, and maintenance, resulting in a truly passive ownership position with no landlord obligations.
• Located in Del Taco’s Core Home Market Del Taco was founded in Southern California and maintains its deepest brand penetration in the region; the San Gabriel Valley, and West Covina specifically, sit within that core trade area, supporting above-average unit-level performance and long-term tenant commitment.
• Recent 2018 Construction Built in 2018, the property features modern construction and a contemporary drive-thru layout, reducing the likelihood of near-term capital expenditures.
• Contractual Rent Growth The lease provides ten percent (10%) rent escalations every five years, delivering a built-in hedge against inflation and compounding income growth over the hold period.
• Directly Adjacent to Plaza West Covina The property sits immediately adjacent to Plaza West Covina, one of the largest regional shopping malls in eastern Los Angeles County drawing consumer traffic past the site’s drive-thru daily.
• 20-Hour Daily Operation The unit operates from 6:00 AM to 2:00 AM, seven days a week, maximizing revenue capture across breakfast, lunch, dinner, and late-night day-parts, evidence of an active, high-utilization store rather than a marginal performer.

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