Sonic Drive-In Tacoma

Property Overview

Located at 9810 Pacific Avenue in Tacoma, Washington, this new construction Sonic Drive-In was built in 2017 and spans 1,682 SF. The property sits along a high-traffic retail corridor with daily vehicle counts exceeding 23,000. The tenant operates six Sonic locations across Washington, and the lease is structured as an absolute net lease with 20 years remaining on the primary term and four 5-year renewal options.

Challenge

Our team was engaged by the original developer and operator of the Sonic Drive-In to structure and execute a sale-leaseback of the newly constructed property. The assignment required finding a qualified buyer willing to acquire the asset simultaneously with the execution of a long-term absolute net lease, while also accommodating a buyer completing a 1031 exchange. Aligning the sale-leaseback structure with the buyer's exchange timeline added a layer of coordination to an otherwise straightforward single-tenant offering.

Action

We brought the property to market at $2,263,000, presenting it as a new construction, low-management investment with a 20-year absolute net lease in place. The lease structure placed all operating expenses on the tenant, with contracted 10% rent increases every five years through the initial term and options. Our team coordinated the sale-leaseback terms between the seller and the incoming buyer, ensuring the lease was fully executed and the structure met the buyer's 1031 exchange requirements.

Result

• Sold at the full asking price of $2,263,000, or $1,345 per SF
• Structured as a sale-leaseback with a 20-year absolute net lease in place at close
• Facilitated a successful 1031 exchange for the buyer
• Delivered a long-term, passive investment with contracted rent increases every five years