Purchase Price | $3,500,000 |
---|---|
Annual Rental Income | $201,250 |
Cap Rate | 5.75% |
Lease Term | 13 Years |
City | Los Angeles MSA |
Chipotle Mexican Grill Net Lease Investment Opportunity
Los Angeles, CA MSA
14-Year Triple Net (NNN) Lease
This offering presents an exceptional opportunity to acquire a Chipotle Mexican Grill property located in the highly sought-after Los Angeles Metropolitan Statistical Area. Featuring fee simple ownership and a long-term 14-year triple net lease, this asset provides investors with secure, predictable income backed by one of the nation’s most recognizable and fastest-growing fast-casual dining brands. Positioned in a dense, high-traffic retail corridor, the property offers superior fundamentals in one of the most desirable and dynamic markets in the country.
Location and Market Overview
The Los Angeles MSA is the second-largest metropolitan area in the United States, with a population exceeding 13 million residents. It boasts one of the most diverse and resilient economies in the nation, supported by industries such as entertainment, technology, healthcare, logistics, and higher education. Los Angeles continues to benefit from consistent population growth and unparalleled consumer demand, making it one of the most attractive markets for long-term retail investment.
The subject property is located along a major arterial road with daily traffic counts exceeding 50,000 vehicles. The site is positioned within a dense retail corridor surrounded by national tenants, grocery anchors, and service-oriented businesses. Its proximity to residential neighborhoods, schools, and major employment centers ensures consistent daily customer traffic.
Demographics
The surrounding trade area offers outstanding demand drivers for fast-casual dining. Within a three-mile radius, the population exceeds 145,000 residents with average household incomes above $94,000. Expanding to five miles, the population reaches more than 350,000, underscoring the density and spending power of the Los Angeles MSA. The area’s demographics and high traffic counts align strongly with Chipotle’s brand and customer profile.
Property Details
The property features a freestanding, prototype Chipotle Mexican Grill totaling approximately 2,400 square feet on a 0.85-acre parcel. Built to Chipotle’s most current design standards, the facility includes a modern dining area, efficient kitchen layout, and a Chipotlane mobile order pick-up lane. The site features excellent ingress and egress, ample parking, and strong street visibility, creating a seamless customer experience for both dine-in and digital orders.
Ownership is fee simple, granting investors full rights to the land and improvements and providing long-term stability and control.
Lease Structure and Tenant Guarantee
The property is secured under a 14-year triple net (NNN) lease with Chipotle Mexican Grill, Inc., a publicly traded corporation with more than 3,200 locations nationwide. Under the NNN lease structure, the tenant is responsible for all operating expenses including property taxes, insurance, and maintenance. This provides investors with a true passive investment and predictable long-term income.
Chipotle continues to be one of the nation’s top-performing fast-casual dining brands, driven by strong same-store sales growth and a rapidly expanding footprint. The corporate guarantee enhances credit security and ensures reliable rental income.
Surrounding Area and Trade Drivers
The Los Angeles MSA combines exceptional population density with a robust employment base, supporting consistent demand for fast-casual dining. The property benefits from its proximity to schools, universities, healthcare facilities, and retail shopping centers, as well as nearby major employers. Los Angeles’s strong tourism industry and diverse population further enhance Chipotle’s long-term customer base in the area.
Investment Highlights
Buyer Profile and Financing
This property is ideally suited for 1031 exchange buyers, institutional investors, REITs, family offices, and private equity firms seeking stable, long-term, low-management net lease investments. The combination of fee simple ownership, corporate-backed lease, and prime location in the Los Angeles MSA ensures excellent financing opportunities and lender acceptance.
Conclusion
This Chipotle Mexican Grill property in the Los Angeles MSA represents a premier net lease investment. Featuring a 14-year triple net lease, a strong corporate guarantee, and a prime location in one of the most desirable and densely populated markets in the United States, the property delivers secure, hands-off cash flow and long-term value appreciation potential.
Qualified investors are encouraged to request the full offering memorandum, lease abstract, and financial details.