STARBUCKS | $5,866,000

Address: 1740 Centinela Ave, Inglewood (Los Angeles County), CA

Price: $5,866,000

CAP: 3.75%

Lot: .39 acres

Building: 880 square feet 

Walseth Investment Company is pleased to present the rare opportunity to acquire the leased fee (land ownership) interest in a freestanding, single-tenant, absolute NNN, drive-through Starbucks investment property located in Inglewood, CA. 

The building is designed in the Starbucks modern modular store concept. The tenant, Starbucks Corporation, has approximately 14 years remaining on their original 20-year lease with 2 (5-year) options to extend. The lease features 10% rental increases every 5 years throughout the initial term with one FMV option period, and one option with a 10% increase. The lease is corporate guaranteed by Starbucks Corporation (NASDAQ:SBUX), with an S&P investment grade credit rating of BBB+ and is absolute NNN. 

The subject property is located at the signalized, hard corner intersection of S La Cienega Boulevard and W Centinela Avenue, one of the busiest intersections in Los Angeles County with over 128,000 vehicles per day. The asset is uniquely positioned adjacent to a Best Western with 58 rooms, making this Starbucks the perfect morning stop for hotel guests. The site is adjacent to Grand Ladera Center, a 119,000-square-foot shopping center anchored by Ralphs, Petco, and Ross. In addition, this Starbucks is located in a strong retail corridor with multiple nationally-recognized retailers including McDonald’s, CVS, Bank of America, and more. 

The property is approximately .6 miles from the 405 freeway (280,000 VPD) and is approximately 2 miles from The Forum, SoFi Stadium, and the Intuit Dome. The 3-mile trade area is supported by a dense population of 242,144 people with a high average household income of $107,525. The trade area is supported by a daytime employee count of 123,941.