GILROY, CA-A Sonic Burger franchisee has inked a long-term ground lease here for a 33,000-sf pad site fronting State Route 152. Sonic Burger-Cinos Inc. signed a 20-year deal and should have a restaurant up and running sometime this summer, according to the listing broker, Tom Nelson of Colliers International.

The site is part of a 155-acre development by McCarthy Ranch Corp. of Milpitas that sits near the confluence of US Route 101 and SR 152, adjacent to two major retail centers. The McCarthy development includes 20 acres of retail called McCarthy Retail Center with several pad sites fronting SR 152 and, behind that, 135 acres of industrial space to be known as McCarthy Business Center.

Nelson tells that approximately 55,000 cars pass the site on Highway 152 every day, providing the Sonic franchisor the opportunity to capture a lot of transient traffic moving between the Central and Silicon valleys. He declined to confirm the value of the lease, which one industry source put at between $2 million and $2.5 million.

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