Here is an excellent opportunity to purchase a small strip center in Garden Grove, on Euclid right next to the onramp for the 22 freeway, a major intersection. It has three tenants with long operating histories - a liquor store, smoke shop, and a laundromat.
The independent liquor store has been operating since 1993. The prior owner invested approx. $100k remodeling the interior, including 24 cooler doors, new floor tiles, and new shelving among the many improvements. The liquor store occupies approx. 2,450sf. The current lease began on Nov 1, 2021, and on Nov 01, 2023, the rent will be $5,665/mo. plus NNN. Rent increases 3%/year, the lease ends on Oct 31, 2031, and has two 5-year options at market rate.
The smoke shop is the newest of the tenants, occupying 368 sf. The current lease began on Nov 01, 2020, and on Nov 1, 2023, the rent will be $1,060/mo. plus NNN. The lease ends on Oct 31, 2025, and has no options.
The laundromat has been a tenant for over 20 years, occupying approx. 1,932sf. The owner recently improved their store including 10 new machines, paint, and a remodeled bathroom. The current lease began on Nov 1, 2021, and on Nov 01, 2023, the rent will be $5,150/mo. plus NNN. The rent increases 3%/year, the lease ends on Oct 31,2031, and has two 5-year options at market rate.
The center has 3 successful tenants, which is always a positive when purchasing a center. The building itself was recently remodeled, and the owner invested close to $300,000 in improvements. Improvements include a new facade (giving it a clean, modern look), new asphalt paving in the large parking lot, a new roof (front of building), new signage, a new iron gate at the rear of the property, new stucco, and major electrical and plumbing work. A new buyer shouldn’t have to invest in any improvement money for quite some time. The property has clean phase 1 and 2 environmental assessments. Buyer to cooperate with seller's 1031 exchange purchase.