Overview

Description

SRS National Net Lease Group is pleased to offer the opportunity to acquire the fee simple interest (land and building ownership) in a NNN leased, Shakey’s investment property located in Valley Village, California (Los Angeles County). The tenant, SCO LLC, has approximately 10 years remaining in their current lease term with 2 (5-year) options to extend, demonstrating their long-term commitment to the site. The lease features approximate 3% annual rental increases during the initial term and at the beginning of each option period, growing NOI and hedging against inflation. The lease is NNN with landlord responsibilities limited to roof and structure, making this an ideal, low-management investment opportunity for a passive investor. Founded in 1954, Shakey’s was the first franchise pizza chain in the United States.

The offering only includes the 5 parking spaces directly behind the building (see Site Plan on Page 13). There is a easement and ROW down the property line, the adjacent parking lot is owned by the skilled nursing facility next door. Per the Seller, the parking has not affected store revenues which continue to be consistent.

The subject property is strategically located near the signalized, hard corner intersection of Chandler Blvd and Laurel Canyon Blvd, which serves over 49,000 vehicles per day. The asset also benefits from excellent visibility and access via a large pylon sign and a convenient point of ingress/egress. The property is ideally situated 1 mile south of NOHO West, a 398,000 SF shopping center anchored by Regal Cinemas, 24 Hour Fitness, Old Navy, and Trader Joe’s. The site is also 1 mile north of U.S. Highway 101 (270,000 VPD) further increasing consumer traffic to the area. Other nearby national/credit tenants include Macy’s, Ralphs, CVS, Walgreens, Rite Aid, LA Fitness, and more. Strong tenant synergy increases consumer draw to the immediate trade area and promotes crossover store exposure to the site. Furthermore, the asset is minutes away from Los Angeles Valley College, which has an enrollment of 20,000 students. Moreover, the property is located just 5 miles northwest of Universal Studios Hollywood, a world famous, 415-acre theme park and production studio that had 9.15 million visitors in 2019, making it the 15th most visited amusement park in the world that year. The 5-mile trade area is supported by a dense population of more than 597,500 residents and 273,000 employees, providing a direct consumer base from which to draw. Residents within 5 miles of the site boast an affluent average household income of $127,311.

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