Orange County, CA – Matthews Real Estate Investment Services™, the nation’s fastest-growing commercial real estate firm, recently arranged the sale of a Wendy’s in Long Beach, CA, for $5.56M. The retail property is located at 2201 N Bellflower Blvd, Long Beach, CA. The lead agent in the transaction was Senior Vice President & Senior Director of Single-Tenant Net Lease Aron Cline.
Long Beach is the second largest city in the Los Angeles metropolitan area and the third largest in Southern California. The retail property is in a high-profile, desirable, hard corner with a drive-through, near California State University, Long Beach. Traffic in the affluent five-mile trade area receives over 55,000 vehicles per day. Additionally, a robust demographic of 558,561 people, within five miles, surround the property. There is currently a six-month ban on any new development drive-through restaurants in the city of Long Beach, which could become a permanent measure. This has, in turn, created a stronger demand by making it difficult for tenants to relocate.
The building consists of ±2,404 square feet and was built in 1977. The tenant has scheduled a remodel for mid-2020 and is obligated by the lease to completely renovate the store to match Wendy’s current prototype by the start of 2022. The tenant, the Wendy’s Company, operates the Wendy’s fast-food chain. Wendy’s has operated at this location for nearly 40 years. The company is currently ranked the #2 hamburger chain in the United States and has approximately 6,500 restaurants in the U.S.
Aron Cline was able to reach a variety of possible buyers through his extensive marketing approach, which enabled him to secure multiple offers. “Location! Location! Location! The Wendy’s in Long Beach is an irreplaceable, Southern California single-tenant investment opportunity due to its location,” explained Senior Vice President & Senior Director of Single-Tenant Net Lease Aron Cline. “This deal involved a small-time operator with a limited guarantee which proposed a challenge for lenders and investors, as most private buyers want investment-grade rated tenants with a corporate guarantee. Thanks to my experience, we were able to overcome the challenges of a lease guaranteed by a small operator and achieve aggressive pricing for the owner.”
In 2019, Aron Cline finished as the top producing agent at Matthews™ with over 69 transactions completed and has already closed seven transactions in 2020. Over the past three years, Aron has been involved in over 160 transactions totaling 1,540,533 square feet valued at approximately $470M, according to CoStar.
Aron Cline is set to close on the sale of another Wendy’s in Aurora, CO, this week and has several other, free-standing, single-tenant net lease properties listed for sale. For more information regarding the sale of the Wendy’s in Long Beach, CA, or if you have any other questions relating to net lease assets, please contact Aron Cline. To view Aron’s current listings visit: https://www.matthews.com/agents/aron-cline/.
Matthews Real Estate Investment Services™ is recognized as an industry leader in Shopping Centers, STNL, Multifamily, Leasing, Management, Portfolio Disposition and 1031 Exchange programs. The firm is headquartered in El Segundo, CA and serves clients throughout the United States and Canada. For more information, please visit www.matthews.com.