Colliers International in Greater Phoenix recently completed the investment sale of a Chuy’s Mesquite Broiler restaurant building in an active Tucson residential and shopping area for $1 million. The transaction also included a billboard lease with Eller Media Company.
RR 22nd Street Tucson LLC of Honolulu, Hawaii, purchased the property, located at 7101 E. 22nd Street, from 7101 E. 22nd Street LLC of Tucson.
The buyer was represented by Colliers International Senior Vice President Bob Broyles. The seller’s agents were Jamie Medress, senior vice president, and Mark Ruble, first vice president investments, with Marcus and Millichap in Phoenix.
The tenant is an established Chuy’s franchisee, which has been in business at this location since 1997. The restaurant operates in a 2,500-square-foot, single-tenant building on a half acre with a long-term triple net lease.
The property is located at the busy intersection of 22nd Street and Kolb. It is surrounded by residential areas, with approximately 218,000 residents within a five-mile radius.
Chuy’s Mesquite Broiler began in 1978 with locations in Arizona and California. The restaurant is known for mesquite grilled foods.
“This is an attractive investment opportunity for my clients because of the long-term net lease with annual rent increases and a very successful tenant,” said Broyles.