For the first time since it was developed, the Grand Plaza is being placed on the market in Los Angeles’ Chinatown neighborhood. The 71,320 square-foot retail center is being listed by Lee & Associates, with an asking price of $34.6 million, or about $485 per square foot.
The property is located at 701 W. Cesar E. Chavez Boulevard. According to public records, the property has been owned by an entity associated with 601 N. Grand Avenue Ltd. since it was developed in 1997.
The property is fully occupied by a diverse mix of tenants. In total, seven tenants occupy the property, including 7-Eleven, EOS Fitness, Subway, Kapoor’s, Tirsa’s, Papa John’s and AltaMed Health.
“The offering has stabilized triple net long term leases with a net operating income of approximately $1.99 million,” the offering memorandum states. ”There is favorable assumable debt on the property with 7+ years of i/o left at 4.86 percent. This equates to an above market cap rate of 5.75 percent and a 6.72 percent cash-on-cash return in year one.”
Located in the busy Chinatown neighborhood, the property is within walking distance of more than 5,000 residential units. However, the property also contains 180 parking spaces and also sees a large daily vehicle count, according to Lee & Associates. Nearby, W. Cesar E Chavez Avenue and Grand Avenue see a combined total of 42,250 vehicles per day. Nearby freeways 110 and 101 also see about 220,000 vehicles per day.
Chinatown is also home to a number of employers, cultural institutions and popular attractions. Neighboring Grand Plaza are companies like Apple, Bank of America and Spotify. The property is also within close distance to the Walt Disney Music Hall, Crypto.com Arena and the Los Angeles Convention Center.
Lee & Associates did not respond in time to comment on this story.
