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Top 94% Store Nationwide | Corp Guarantee 111 San Felipe Rd 2,192 SF Retail Building Hollister, CA 95023 $3,480,000 ($1,587.59/SF) 5% Cap Rate
Investment Highlights
- CORPORATE GUARANTEE – The property is operated by Starbucks corporate and is backed by a full corporate guarantee, providing strong credit tenancy.
- STRONG RENT GROWTH – The lease includes a 10% rent increase effective March 2027, immediately boosting cash flow.
- MARKET-DOMINANT COFFEE CHAIN – Starbucks is the world’s largest coffeehouse chain, operating approximately 40,000 locations across 84 countries.
- OUTPERFORMING RETAIL LOCATION – Ranked in the top 94th percentile nationwide, top 89th percentile statewide, and top store within 15-mile radius.
- FAVORABLE DRIVE-THRU FORMAT – Average Starbucks store sales are approximately 50% higher at locations that include a drive-thru component.
- HIGH-TRAFFIC AREA – The subject property benefits from excellent visibility along San Felipe Rd, a major arterial roadway with 18,000+ VPD.
Executive Summary
Prime Net Lease is pleased to present an exceptional opportunity to acquire the fee simple interest in a corporately guaranteed Starbucks located in Hollister, California, one of the most dynamic and growing markets in the Monterey Bay region. Constructed in 2021, the property features a 2,192-square-foot, modern drive-thru facility situated on a ±0.74-acre parcel, offering investors a high-quality asset with minimal management requirements.
The property is leased to Starbucks Corporation under a Modified Triple Net (NNN) lease with over six years of remaining primary term, providing durable cash flow backed by a full corporate guarantee. The lease includes four (4) five-year extension options, each featuring 10% rental increases, delivering strong long-term income growth and built-in inflation protection. An additional 10% rent increase effective March 2027 further enhances near-term cash flow.
Strategically positioned along San Felipe Road, a major arterial with 18,000+ vehicles per day, the site benefits from excellent visibility, strong ingress/egress, and consistent daily traffic. The location is further strengthened by Starbucks’ market-dominant drive-thru format, which captures a significant portion of quick-service demand and supports above-average unit performance.
This Starbucks is an outperforming retail location, ranking in the top 94th percentile nationwide and top 89th percentile statewide, and stands as the highest-performing store within a 15-mile radius—underscoring exceptional traffic generation and sustained revenue strength.
Situated within a dense and established retail corridor, the property is surrounded by national tenants including McDonald’s, Taco Bell, KFC, Jack in the Box, AutoZone, UPS, Quik Stop, and others, driving consistent consumer draw to the area. Combined with Starbucks’ global brand strength—operating approximately 40,000 locations across 84 countries—this offering represents a stable, low-risk, long-term net lease investment in a growing California market.
Property Facts
Amenities
- Pylon Sign
- Signage
Major Tenants
- Tenant
- Industry
- SF Occupied
- Rent/SF
- Lease Type
- Lease End
-
- Accommodation and Food Services
- 2,192 SF
- $79.09
- Modified Gross
- Feb 2032
Starbucks is a publicly traded coffeehouse and beverage company focused on the sourcing, roasting, and retailing of coffee and related products. Founded in 1971 in Seattle, Washington, the company began as a retailer of whole bean coffee and coffee equipment before evolving into a café-based model in the late 1980s. Starbucks operates company-owned and licensed locations across the Americas, Europe, the Middle East, Africa, and the Asia-Pacific region, supported by regional offices and corporate functions. The company’s operations include retail stores, roasting facilities, and supply chain infrastructure that supports both in-store and packaged goods channels. Starbucks has expanded its portfolio over time to include tea-based beverages, food offerings, and ready-to-drink products distributed through grocery and foodservice partners. The company has also developed premium concepts, including Starbucks Reserve, which emphasizes small-batch coffee and experiential retail formats. Starbucks is listed on the Nasdaq under the ticker symbol SBUX. Its corporate headquarters, known as the Starbucks Center, is located in Seattle and houses executive leadership, global operations, and administrative functions.
| Tenant | Industry | SF Occupied | Rent/SF | Lease Type | Lease End | |
|
|
Accommodation and Food Services | 2,192 SF | $79.09 | Modified Gross | Feb 2032 |
Nearby Major Retailers
Property Taxes
| Parcel Number | 051-020-021-000 | Improvements Assessment | $2,493,838 |
| Land Assessment | $1,910,174 | Total Assessment | $4,404,012 |
Property Taxes
Presented by
Top 94% Store Nationwide | Corp Guarantee | 111 San Felipe Rd
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