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  • Sold
Habit Burger - Cathedral City, CA - #1
Habit Burger - Cathedral City, CA - #2
Habit Burger - Cathedral City, CA - #3

Sales Price: $4,070,000
Cap Rate: 3.83%
Guarantor: Corporate
Term Remaining: 15 years
Rate Increases: 10% every 5 years

Never give up. Utilizing our network, NLX sourced the exact off-market opportunity our client was looking for. Since the property was still under construction, contract negotiations and diligence periods took twice as long as a typical net lease transaction.  Seller ended up terminating escrow after our buyer needed more time for due diligence. Having exhausted all their backups and with client's 45-day ID deadline fast-approaching, NLX resurrected the deal through our relationship with the Seller's agent. Our client's exchange was preserved, and they received a credit for rent until the Tenant opens for business in Q1 2023.

"I appreciate your diligence and follow through on the details of this deal." - Ernie

  • 11/15/2022
  • Newly constructed, Habit Corporate is the signor and operator of this specific location. A freestanding QSR with drive-thru, Habit signed a 15-year absolute NNN lease, with no guarantor release clause upon any future assignment--a rarity in the fast-food space. The Property also features a prominent patio for outdoor dining and EV charging stations. Sitting on a signalized corner opposite a McDonald's and outparcel to a grocery anchored center, population within a 1-mile radius is just over 20k, with market rents growing at over a 6% YOY clip.