Hanley Investment Group Real Estate Advisors has brokered the sale of a two-building, 8,367-square-foot retail asset occupied by In-N-Out Burger and Corky’s Kitchen & Bakery in Yucaipa, Calif. The property traded for $8 million or $956 per square foot, at a 4.11 percent cap rate. The all-cash sale marks the highest cost and cap rate for an Inland Empire two-tenant investment priced above $5 million, according to Hanley.
Hanley Investment Group Executive Vice President Bill Asher, President Ed Hanley and Vice President Jeff Lefko negotiated on behalf of the seller, VantageOne Real Estate Investments LLC. Recently, Lefko and Asher also arranged the $2.8 million sale of a Starbucks property in Fresno, Calif. Senior Associate Edward Weng of TFS Properties represented the buyer, a private investor from Los Angeles.
The two buildings, completed in 2016, are located at 31465 and 31467 Ave. E, adjacent to Interstate 10, at the Yucaipa Boulevard exit, visible to more than 138,000 cars per day. The 3,867-square-foot In-N-Out Burger and the 4,500-square-foot Corky’s Kitchen & Bakery are both under long-term leases with renewal options and fixed increases.
Located roughly 4.5 miles of downtown Yucaipa, the 2.2-acre property comprises the only In-N-Out location within a 7.5-mile radius and the only Corky’s Kitchen & Bakery within a 16-mile radius. The population living within a 3-mile radius has an average household income of $115,000.
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