COMMERCIAL REAL ESTATE TRANSACTION ALERT
SRS Real Estate Partners’ National Net Lease Group (NNLG) announced today it has completed the $8.2 million sale of a Raising Cane’s Chicken Fingers-occupied property located at 1857 S. Tippecanoe Avenue in San Bernardino, CA. This transaction has broken sales records as it is the highest price point for a Raising Cane’s property sold to date on a national basis and the highest price for any quick-service restaurant ever in San Bernardino County (per CoStar).
SRS NNLG’s Managing Principals Matthew Mousavi and Patrick Luther represented the seller and developer, an affiliate of Red Mountain Group, a prominent owner of retail property nationally based in Orange County, CA. The buyer, a private high net worth investor based in San Diego, paid all cash and was represented by Jim Casale of Lee & Associates.
“SRS is pleased to secure more than $2,006 per square foot (psf) on this asset, not only setting regional psf records, but also securing the highest price point ever for a Raising Cane’s occupied property. This is a testament to the high-profile nature of the property and another quality project developed by Red Mountain,” said Mousavi.
He added: “This asset is one of the highest performing QSRs in the San Bernardino region with over 360,000 visits annually. We aggressively marketed this property and garnered a number of highly competitive offers, ultimately selecting a non-1031, all cash investor. This record-breaking transaction is significant as it shows the strength of the growing San Bernardino market as well as this highly popular restaurant brand in Raising Cane’s.”
Built in 2017, the 4,086-square-foot property with drive-thru is situated on 1.24 acres. Raising Cane’s has more than 11 years remaining on its absolute triple net lease. The property is strategically positioned on a primary retail corridor and is near the Interstate 10 on/off ramp. The site also has a large monument sign providing visibility to more than 255,000 residents and 142,000 employees that are within a five-mile radius.
In September of 2020, the same SRS NNLG team completed the $6.8 million sale of a Raising Cane’s-occupied property located at 40390 Margarita Road in Temecula, CA. At that time the sale broke the record for the highest price ever paid a national basis for the brand per CoStar. This latest San Bernardino sale brings the Temecula transaction to the second highest price to date.
Year-to-date, SRS’ National Net Lease Group (NNLG) has completed more than 550 transactions valued in excess of $1.6 billion and has in excess of $1.8 billion in property on the market.