11612 Amargosa Road | Victorville, CA
Marcus and Millichap has been selected to exclusively represent the sale of Restaurant Row in Victorville, California, a portfolio of category-leading national and regional restaurants. The subject property consists of newly constructed prototypical Cracker Barrel restaurant consisting of 9,113 square feet sitting on an approximate 2.2-acre parcel of land. The building was tastefully constructed with all of the rustic features Cracker Barrel Old Country Store restaurants are well known for, covered front porch with rocking chairs, brown-paneled siding, metal roof, and authentic Americana antiques. The offering is a 15-year corporate ground lease ( fee interest ), with publicly traded Cracker Barrel restaurant (Nasdaq: CBRL) with 10% rent increases every 5 years. This is southern California’s first Cracker Barrel and the grand opening was an overwhelming success that generated a tremendous wait from loyal Cracker Barrel patrons. Cracker Barrel has a cult following throughout the country and this location is well positioned along Amargosa Road and the I-15 freeway. Cracker Barrel Old Country Store, Inc. was established in 1969 in Lebanon, Tennessee. There are currently 640 locations throughout the U.S.
The real estate is well positioned in the trade located adjacent to the I-15 Freeway and Bear Valley Road on and off ramps. Fronting both Amargosa Road and the I-15 freeway the property has excellent identity and traffic exposure. Traffic counts exceed 98,000 cars per day on the I-15 and 52,000 cars at Bear Valley and I-15. The location is prime in
the trade area as evidenced by the new development that includes a new 75 room Wyndham Hotel and resort, Super Walmart, Kohl’s and Home Goods, TJ Max, 24 Hour Fitness currently under construction at the site. Additionally, a proposed 128 bed trauma center, medical office building, physician village, day care, spiritual care development with a hotel has been approved with all entitlements. This project is comprised of 98 acres along Amargosa Road between Bear Valley and Main Street just 2.8 miles from the subject property. The project part is of the St. Joseph / St. Mary Healthcare system.
Restaurant Row is a synergistic mix of restaurants consisting of Starbucks Coffee, nectar juice bar, Which Wich Sandwiches, Pieology Pizza, Ono Hawaiian Barbeque, Café Rio Mexican Grill, Habit Burger and Bj’s Pizza. Access points and drive aisles provide excellent ingress and egress from the Wyndham, Walmart and Kohl’s for easy access
to all of the restaurants. 76% of the leasable area (4 of 6 tenants) have corporate signature absolute net leases. The remaining two tenants are strong franchisees with excellent operational histories and personal rent guarantees. The investment provides annual rent growth with increasing cash flow and yield, protecting against inflation with a diversified base of strong restaurant tenants.
The Victor Valley includes the communities of Adelanto, Apple Valley, Hesperia, Lucerne Valley, Oak Hills, Phelan, Victorville and Wrightwood. Victorville is the business hub of the area and draws consumers from well beyond its immediate area. It is the largest commercial center between San Bernardino and the Nevada border. The city of Victorville is home to a large and diverse pool of workers and is home to 34 universities, colleges and technical schools providing an abundant supply of skilled labor. Victorville has experienced tremendous growth over the last decade with the population increasing over 117% since 2000. The population continues to grow with projections of additional 20% growth over the next five years. Current population is 133,790 people in a 5 mile radius with an average household income of $76,267 within 1 mile of the property.
New Construction with Warranties
New 15 Year Fee Interest Ground Lease
10% Rent Increases every 5 Years
Most Secure Form of Ownership
Explosive Trade Area Growth
Average Household Income: $76,267 Within a One Mile Radius
New Proposed Hospital on Amargosa