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 recently constructed, three-tenant net-leased investment anchored by a Chipotle Mexican Grill with a drive-thru “Chipotlane” in Riverside, California. The property is situated directly off the Interstate 215 on/off ramps (154,680 cars per day). Adjacent to the Interstate 215 is March Air Reserve Base, a 2,075-acre facility with over 8,000 personnel assigned to it and a 1,750-civilian population.
Hanley Investment Group’s Executive Vice President Eric Wohl and Associate CJ Kiehler represented the seller and developer, Greens Development Inc., of Irvine, California. The buyer, a Los Angeles-based 1031 exchange investor, was represented by Justin Altemus of The Altemus Company in Los Angeles. The sale price was $5.84 million.
“As part of this off-market transaction, we successfully sourced a 1031 exchange buyer who needed to close quickly and ended up closing escrow while BHC Chicken, one of the pad building’s tenants, was still completing their buildout,” noted Wohl.
The 6,300-square-foot Chipotle-anchored pad building, completed in 2020, sits on a 0.90-acre parcel at 22430 Van Buren Boulevard in Riverside. The three-tenant building also includes MA Dental and BHC Chicken, which is expected to open in October.
The pad building is a part of Veteran’s Plaza, a community shopping center and hotel complex developed by Greens Development Inc. It includes In-N-Out, a four-tenant Starbucks-anchored multi-tenant retail pad building, Hampton Inn + Home2 Suites, Circle K convenience store with a 76 gas station and others, promoting crossover shopping.
The Chipotle-anchored pad building is situated between Hampton Inn + Home2 Suites and In-N-Out near the signalized intersection of Van Buren and Opportunity Road (over 40,000 cars per day). Traffic on Van Buren Boulevard is projected to increase to 72,000 cars per day. The Interstate 215 and Van Buren interchange was completely remodeled at a cost exceeding $32 million. The site also benefits from excellent freeway signage along Interstate 215.
Veteran’s Plaza is located within Meridian Business Park, a 1,290-acre master-planned commerce and distribution center planned to have 16 million square feet of building space, creating up to 18,000 jobs. Current tenants include Amazon, UPS, Sysco, Kaiser Permanente, Kia Automotive, McLane Foods and others.
There are over 232,000 residents with an average household income in excess of $91,000 within a five-mile radius of the property. The daytime population exceeds 189,000, providing an additional consumer base. Lake Perris, an 8,800-acre state recreation area, is just two exits south off of Interstate 215 and is known for its boating, hiking, fishing, swimming, picnicking, rock climbing, horseback riding and camping.
In May 2023, Hanley Investment Group arranged the sale of the Starbucks Drive-Thru-anchored property at Veterans Plaza for the same seller.
“With the current volatile market and economic conditions, investors are seeking ‘safe-haven’ investments in robust markets to protect and grow their equity,” noted Wohl. “This Chipotle-anchored pad, located adjacent to a Starbucks-anchored multi-tenant retail pad and In-N-Out, exemplifies the type of product attracting many investors in the present market landscape.”