ESPAÑOLA, NM – [February 24, 2020] – Blue West Capital has completed the sale of a single tenant net leased Burger King located at 701 N Riverside Drive, Española, NM for $1,430,000. Brandon Gayeski and Zach Wright, of Blue West Capital, represented the seller in the transaction; a Colorado-based private investor. The purchaser was a California-based investor in a 1031 exchange.
The 3,250 square foot building is leased to a Burger King franchisee on a long-term lease with zero landlord responsibilities. The tenant has a proven operating history of over twenty-five years at this location and recently executed an early twenty-year lease extension. This location is operated by Redrock Foods, LTD which operates 17 Burger King locations in southern Colorado and Northern New Mexico. They also operate an additional 11 Burger Kings in Southern New Mexico and 7 Burger Kings in Southern California.
The Burger King is strategically located at the signalized intersection of Riverside Drive and La Joya Street. The property is within close proximity to the Los Alamos National Laboratory which is one of the largest science and technology institutions in the world. The nearby retailers in the immediate trade area include Walmart Supercenter, Lowe’s, Walgreen’s, CVS, O’Reilly Auto Parts, Wells Fargo, Del Taco, Chili’s, and many others.
“Burger King has successfully operated at this location since the early-1990’s and has an established customer base. The tenant recently executed a 20-year lease extension evidencing their commitment to this location. Properties with long-term leases and proven operating histories are difficult to find but offer investors the best of both worlds,” said Brandon Gayeski, Associate.
“Quick-service restaurants (“QSR”) are presently at the forefront of demand for 1031 exchange investors. QSR properties offer low price points, absolute net leases with fixed rental increases, and e-commerce resistance, which aligns with a majority of private capital 1031 exchange investor’s acquisition goals,” said Zach Wright, Director of Net Lease Investment Sales.