Hanley Investment Group Brokers $3.86M Sale of Chipotle-Anchored Multi-Tenant Retail Pad in Palm Desert
Hanley Investment Group facilitated the $3.86M sale of a fully leased multi-tenant retail pad in Palm Desert, anchored by Chipotle Mexican Grill. The prime location, near I-10, attracted strong investor interest.
High-Value Retail Property Sale Highlights Strong Investor Demand
Hanley Investment Group Real Estate Advisors, a nationally recognized real estate brokerage firm specializing in retail property sales, has successfully brokered the sale of a fully leased, multi-tenant retail pad property in Palm Desert, California. The $3.86 million transaction highlights the ongoing demand for well-located, high-quality retail investment properties.
Situated at 39575 Washington Street, this 8,500-square-foot retail pad features a new Chipotle Mexican Grill drive-thru “Chipotlane”, strategically positioned near Interstate 10’s Washington Street exit, ensuring high traffic visibility.
This transaction marks Hanley Investment Group’s 17th Chipotle property sale in the last 24 months, further solidifying the firm’s reputation as a leader in retail investment sales.
A Competitive Sale with Strong Investor Interest
Hanley Investment Group’s Executive Vice Presidents Bill Asher and Jeff Lefko represented the seller, a private investor based in Los Angeles. The buyer, a 1031 exchange investor from San Diego, was represented by Omar Hussein of Beacon Realty Advisors in Del Mar, California.
A Streamlined and Efficient Transaction
According to Bill Asher, the firm’s strategic approach generated multiple qualified offers, leading to a highly competitive bidding process.
“We procured an all-cash 1031 exchange buyer and negotiated a 21-day due diligence period with a timely closing to meet the buyer’s exchange requirements,” said Asher.
This rapid turnaround underscores Hanley Investment Group’s ability to match high-value retail assets with serious investors, ensuring maximum value for sellers.
Prime Location and Strong Tenant Mix
Built in 2008, the retail pad spans 1.01 acres and includes a strong mix of national and regional tenants, making it a highly desirable investment property.
High-Profile Tenants Include:
✔ Chipotle Mexican Grill – Occupying 40% of the building under a new 10-year triple-net (NNN) lease (NYSE: CMG).
✔ Cornerstone Pharmacy – A trusted local pharmacy.
✔ Luxury Nails & Spa – A well-established personal care business.
✔ Keller Williams Realty Coachella Valley | Jelmberg Team – A top-performing real estate office in the region.
The Chipotle-anchored retail pad is strategically positioned at a signalized intersection on Washington Street, a major thoroughfare in the Coachella Valley, with 46,350 cars passing daily. Additionally, it is just one block from the Interstate 10 entrance/exit, which sees over 107,750 vehicles per day.
Palm Desert – A Thriving Retail & Residential Hub
Palm Desert continues to be a prime market for retail investment, thanks to its booming population growth and strong economic indicators.
Why Palm Desert is an Attractive Market for Investors
✔ Growing Population: The population within a three-mile radius has grown by 65% since 2000.
✔ Affluent Community: The average household income within three miles exceeds $110,000.
✔ High Tourism Volume: Over three million visitors come to the Coachella Valley annually.
The area is also home to major events such as:
Coachella Valley Music & Arts Festival – Attracts over 250,000 attendees.
Stagecoach Festival – Over 85,000 visitors.
Riverside County Fair & National Date Festival – Draws 315,000 attendees.
Retail Synergy & Nearby Anchors Drive Strong Consumer Demand
The Chipotle-anchored retail property benefits from its proximity to several national retailers and service providers, which further enhance consumer foot traffic.
Notable Surrounding Businesses:
✔ Stater Bros. – Major regional grocery store.
✔ EOS Fitness – Popular fitness center chain.
✔ Bank of America – High-traffic financial services hub.
✔ McDonald’s, Starbucks, Taco Bell, Del Taco, and Walgreens – Top-performing QSR and retail brands.
✔ Acrisure Arena – A newly built 11,000-seat indoor arena, located just 2.5 miles away, bringing year-round entertainment traffic.
Growing Demand for QSR and Multi-Tenant Retail Investments
The sale of this Chipotle-anchored retail pad underscores the continued investor demand for high-quality quick-service restaurant (QSR) properties with long-term leases and prime locations.
“Chipotle is one of the most sought-after QSR drive-thru tenants right now, and it showed in the high level of interest we received on this property,” said Asher.
Multi-tenant retail pads like this offer investors:
✔ Diversified Income Streams – Multiple tenants reduce risk exposure.
✔ Long-Term Lease Stability – Chipotle’s 10-year NNN lease ensures steady revenue.
✔ Prime Location Benefits – High-traffic intersections drive consistent foot traffic.
Hanley Investment Group’s Track Record in the Inland Empire
Hanley Investment Group continues to be a leader in retail investment sales, particularly in Southern California’s Inland Empire.
Recent Sales Milestones:
✔ $1.8 billion in retail properties sold in the Inland Empire.
✔ $470 million in transactions in the last 48 months.
✔ 17 Chipotle property sales closed in the last 24 months.
These numbers reinforce Hanley Investment Group’s expertise in facilitating high-value transactions in the retail sector.
Conclusion – A Testament to the Strength of Retail Investment
The $3.86 million sale of this Chipotle-anchored multi-tenant retail pad in Palm Desert reflects the resilience and demand for well-located retail investments.
With a strategic location, strong tenant mix, and premium retail positioning, this property continues to demonstrate why retail real estate remains a prime asset class for investors.
For more information on retail investment opportunities, visit:
Hanley Investment Group
Hanley Investment Group Real Estate Advisors, a nationally recognized real estate brokerage and advisory firm specializing in retail property sales, announced today that the firm arranged the sale of a fully occupied, multi-tenant retail pad property in Palm Desert, California. The property is anchored by a new Chipotle Mexican Grill with a drive-thru “Chipotlane” near the Interstate 10 freeway Washington Street on/off ramp. This transaction closed at $3.86 million, marking the 17th Chipotle property sold by Hanley Investment Group in the last 24 months.
Hanley Investment Group’s Executive Vice Presidents Bill Asher and Jeff Lefko represented the seller, a private investor based in Los Angeles. The buyer, a private 1031 exchange investor from San Diego, was represented by Omar Hussein of Beacon Realty Advisors in Del Mar, California.
“We generated multiple qualified offers and created a competitive bidding environment to achieve maximum market pricing,” said Asher. “We procured an all-cash 1031 exchange buyer and negotiated a 21-day due diligence period and a timely closing to help accommodate the buyer’s exchange requirement.”
Built in 2008, the 8,500-square-foot, four-tenant retail pad sits on 1.01 acres at 39575 Washington Street in the heart of Coachella Valley. Chipotle Mexican Grill occupies approximately 40% of the building with a new 10-year triple-net corporate lease (NYSE: CMG). Other tenants include Cornerstone Pharmacy, Luxury Nails & Spa, and Keller Williams Realty Coachella Valley | Jelmberg Team.
The property is strategically located at a signalized intersection on Washington Street, a major north/south corridor in the Coachella Valley (46,350 cars per day). It is ideally positioned one block from the Interstate 10 entrance/exit for Washington Boulevard (107,750 cars per day). Interstate 10 connects Los Angeles to San Bernardino County, Riverside County, and Phoenix, Arizona. The Chipotle-anchored property is also directly across from Sun City Palm Desert, a 1,600-acre gated community with over 5,000 homes and more than 9,000 residents.
Surrounding retailers include Stater Bros., EOS Fitness, Bank of America, DaVita Dialysis, Del Taco, McDonald’s, Starbucks, Taco Bell, and Walgreens. The property is less than 2.5 miles from the new Acrisure Arena, an 11,000-seat indoor arena that opened in December 2022 and is home to an NHL minor league ice hockey team.
Palm Desert is the geographic center of the Coachella Valley, a rapidly growing region in Southern California. The average household income within a three-mile radius is over $110,000. The population within a three-mile radius of the investment property has increased by 65% between 2000 and 2021. Within one mile, the number of households has increased by 44% during the same period.
The Coachella Valley attracts over three million visitors each year and hosts major events such as the Coachella Valley Music & Arts Festival (the world’s largest music festival, attracting over 250,000 visitors), the Stagecoach Festival (the second largest country music festival with over 85,000 visitors), and the Riverside County Fair & National Date Festival (attracting 315,000 visitors). The region is also home to four casinos and more than 130 golf courses.
Asher adds, “Chipotle is one of the more sought-after QSR drive-thru tenants in the marketplace right now, and it showed based on the high-interest level we received on the property. The sale of the Chipotle-anchored pad building in Palm Desert demonstrates there is still an active buyer pool for top-tier multi-tenant retail pad investments in today’s market.”
Hanley Investment Group has sold $1.8 billion in retail properties in the Inland Empire, including $470 million in volume in the last 48 months.