22555 Mission Boulevard

Highlights:

• Essential Daily Needs Retailer Lucky serves as a critical provider of fresh and organic groceries to the surrounding community. As one of the few grocery-anchored centers in the Downtown area, Lucky is a key retail destination.
• Absolute NNN Lease – Zero Landlord Responsibilities The tenant is responsible for all expenses, including property taxes, insurance, utilities, HVAC, CAM, roof, structure, and parking—offering a true passive investment.
• Fee Simple Ownership with Depreciation Benefits Investors benefit from fee simple ownership and the ability to depreciate improvements, enhancing after-tax cash flow.
• Retail Synergy in Shopping Plaza The property is part of a well-established shopping center with national co-tenants including Panda Express, Comerica Bank, Cold Stone Creamery, Peet’s Coffee and multiple daily needs tenants, driving consistent foot traffic and cross-shopping.
• Ideal 1031 Exchange Opportunity With a corporate-backed lease, strong NOI growth, and zero management, this asset is a perfect fit for investors seeking a stable, long-term, cash-flowing 1031 exchange replacement.
• Excellent Parking and Intrinsic Value Lucky’s enjoys abundant street level and rooftop parking offering 354 spaces, which is a rarity for Downtown Hayward. The current rent of $14.25/sf/year is well within market rates. The site also sits within the Mission Boulevard Corridor Code, adopted to implement Smart Growth principles along this corridor.

Description:

Rare Single-Tenant Absolute NNN Grocery Asset
This investment includes a ±67,722 SF single-tenant Lucky California grocery store on a ±4.31-acre parcel, operating under an absolute NNN lease with zero landlord responsibilities. Located in the heart of Downtown Hayward, the sixth largest city in the Bay Area and third largest in Alameda County.

Prime Infill East Bay Location
Situated in the Downtown neighborhood of Hayward, Lucky Supermarket is located in a dense commercial area surrounded by Hayward City Hall, Hayward Public Library, schools, shops, apartments, and the Hayward BART Subway Station. Nearby national retailers include Starbucks, City Sports Club, Safeway, Dollar Tree, Comerica Bank and more. The property benefits from 61,300 cars per day at the intersection of Mission Boulevard and A Street, offering exceptional visibility and access.

Corporate Lease with Save Mart Companies
The Tenant, Lucky, is operated by Save Mart Companies, which operates more than 200 stores across California, Nevada, Oregon, and Washington under the Save Mart, Lucky, FoodMaxx, Roth’s, and Chuck’s Fresh Markets banners. The lease is corporate-backed, providing credit security.

Strong Parent Company – The Jim Pattison Group
Save Mart is owned by The Jim Pattison Group, a diversified conglomerate with over $19 billion in annual revenue and 59,000+ employees, further enhancing the credit profile of the tenancy.

Long-Term Lease with Built-In Growth
The lease commenced in December 2021 and runs through November 2036, with approximate eleven (11) years remaining. It includes 1.75% annual rent increases and three (3), five (5)-year options plus one (1), three (3)-year and eleven (11)-month option, ensuring stable and growing cash flow.

Documents: