CRYSTAL CITY, VA—An affiliate of Choi Cos. LLC has paid $7.35 million for a ground lease for a 6,005-square-foot McDonald's restaurant here.
The transaction, which closed on Aug.25, could well be a record for a McDonald's ground lease in the US, according to Colliers International Executive Vice President Peter Block, who is based in Chicago and was part of the marketing team that brokered the sale of the property at 2620 Jefferson Davis Highway.
At $1,223 per square foot, the deal is not valued as high as the $1,672 per-square-foot price Harbor Group International paid for a Starbucks-anchored property at 1501 Connecticut Ave. NW in March, according to the Washington Business Journal.
Private investment group Choi is not planning a redevelopment of the property, but acquired the property purely as an investment deal. McDonald's is locked into a lease at the Crystal City site that extends to December 2026, with renewal options. See story in the Washington Business Journal.
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