Overview

Description

Faris Lee Investments presents an extremely rare opportunity for an investor to acquire a high profile, irreplaceable shopping center in the heart of one of South Orange County’s premier retail developments, Santa Margarita Market Place, in Rancho Santa Margarita (South Orange County), CA.
The subject property provides the buyer a once-in-a-lifetime opportunity to own an architecturally inspiring shopping center that captures the vision of the Town Center originally laid out by the Mission Viejo Company. The subject property consists of three multi-tenant, free-standing retail shop buildings located at the gateway and the heart of the Santa Margarita’ main retail corridor. In addition, Santa Margarita Market Place is strategically positioned at the signalized hard corner of Santa Margarita Parkway and Avenida de Las Flores (68,000 VPD at the intersection). Santa Margarita Market Place benefits directly from the unmatched synergy and cross-over shopping created in this dominant center.

The subject property’s tenant roster includes world-class consumer brands: Starbucks, Luna Grill, Rubio’s Baja Grill, and Philly’s Best. Multi-tenant retail pad buildings are the most desirable product type for shop tenants due to outstanding visibility and convenient customer access. These buildings consistently achieve much higher rents and have significantly less historical vacancy than in-line retail shop spaces. In addition, over 40% of the Tenants have been long term occupants at this location- Starbucks (2000), Rubio’s Baja Grill (2000), Philly’s Best (2000), Selma’s Pizza (2000) and Spike’s Fish House (2010). The three (3) retail pad buildings also provide an investor with a hedge against inflation with the NNN leases having rent increases during the lease terms and options.

This pride of ownership retail center is ideally positioned at the gateway to over 1 Million SF of retail at the signalized hard corner intersection of Santa Margarita Parkway (53,000+ VPD), Avenida de Las Flores (15,000+ VPD), and Santa Margarita Parkway which has on/off ramps from the Foothill Transportation Corridor/Toll Road 241 (37,000+ VPD). Santa Margarita Marketplace central location provides ideal positioning, maximizing customer draw. The combination of Santa Margarita Market place unmatched location and tenant mix establishes the property’s superior position within the trade area. National tenants in the immediate trade area include Target, Lowe’s Home Improvement, Cinepolis, Trader Joes, Walmart Neighborhood Market, PetSmart, Ross Dress for Less, and Walgreens which provide daily needs and destination shopping. This creates excellent tenant synergy and drives significant crossover traffic to the subject property. The trade area supports one the highest income areas of Orange County with Average Household Income of $177,000+ with over 182,000+ residents and 47,500+ employees.

Highlights

• Gateway to Rancho Santa Margarita at the Signalized Hard Corner Intersection/ (68,000 VPD)/ Highly Desirable South Orange County Location
• Master Planned Community / Extremely High Barriers to Entry in the Trade Area
• Diverse Mix of Restaurant, Medical, and Service Tenants with Strong Historical Occupancy/Daily Needs Tenant Mix
• Pride of Ownership Property/Legacy Asset with Best in Class Construction
• Gateway Center to Rancho Santa Margarita Residential Shopping and Entertainment Hub
• #1 Safest City in CA/Affluent Trade Area Demographics: $182,000 Avg. Household Income
• Stable and Growing Cash Flow | Scheduled Rental Increases Generate A Net Operating Income That Is Projected To Increase by $414,000 (24%) Over The 10 Year Hold Period
• Open To New Financing/Current Assumable Loan with Below Market Interest Rate | 5.07%

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