The pad sites are located in Mission Viejo at 27785, 27845 and 27865 Santa Margarita Parkway, at the northwestern corner of Santa Margarita and Marguerite parkways. Tenants at the sites are Walgreens, Ramona Tire and Claim Jumper. The sites are a part of Trabuco Hills Shopping Center, Mission Viejo's premier neighborhood shopping center.
The $14.4 million sales price, or $594 per square foot, closed at a cap rate of 6.21%. Hook notes that the loan on the properties was one of the selling points of the deal. The terms of the loan, in addition its attractive 5.7% interest rate, included an interest-only fixed rate until 2016, with the buyer paying $5.1 million down.
Hook describes the net-leased pads as among "the premier properties in a coveted South Orange County submarket." He explains that the northwestern corner of Santa Margarita and Marguerite parkways provides excellent frontage and visibility from these two main thoroughfares.
The location is between State Highway 241, known as the Foothill Transportation Corridor, and Interstate 5, the San Diego Freeway, in Southern Orange County. Another selling point of the deal was the demographic profile, according to Hook, who notes that the population within a three-mile radius is greater than 134,000 and the average household income is in excess of $105,000.
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