Hanley Investment Group Sells IHOP in Queens, NY
IRVINE, CALIF.– Hanley Investment Group Real Estate Advisors, one of the most dominant retail investment groups in the western United States and a market leader in the sale of retail properties, announced today that Jonathan T. Selznick and Eric P. Wohl represented the seller in the sale of an IHOP in Flushing, NY. The purchase price was $2,900,000, which represented a 5.25% capitalization rate.
Located at 155‐17 Northern Boulevard within the borough of Queens, in the city of Flushing, NY, the 3,098‐square‐foot single‐tenant absolute NNN investment sits on 14,375‐square‐feet of land. The building was built in 1970, and is situated 11 miles from Manhattan.
“At a 5.25% cap, this record cap rate for a NNN lease IHOP restaurant is approximately 100 basis points better than the next nearest comparable sale for a leased IHOP restaurant,” said Jonathan Selznick, vice president of Hanley Investment Group. “Furthermore, despite approximately one‐third of the net operating income being derived from percentage rent, Hanley Investment Group focused on the premium New York City Flushing/Queens location, the long‐term historical successful operating history of the tenant (since 1971), and the strong tenant sales (and low occupancy cost of just over 6%) as the main selling points to offset the record price paid for the asset and the percentage rent factor.”
In addition to representing the seller, Hanley Investment Group directly sourced a private investor from Fort Lee, New Jersey, who was ultimately represented by Silber Investment Properties of Syosset, NY.
The seller was a private investor based in Los Angeles, Calif.