2529 Canal St Carlsbad, NM 88220

Property Details for 2529 Canal St

Year built

2011

Property size

4,993 SF

Property type

Retail properties

Property subtype

Restaurants

Description

This exceptional investment opportunity presents a 4,993-square-foot IHOP restaurant situated on approximately 39,000 square feet of fee-simple land at 2529 S Canal St, Carlsbad, NM 88220. Built in 2011, this single-tenant property boasts a strong 9.00% cap rate and a substantial net operating income (NOI) of $233,200, with an asking price of $2,590,000 ($518.73/sq ft). The property benefits from a 100% occupancy rate and a long-term lease with 14 years remaining, plus two five-year renewal options, providing significant stability and predictable cash flow. The IHOP is operated by a multi-unit franchisee, further enhancing the investment's reliability. This prime location enjoys high visibility near the intersection of Highways 285 and 62, surrounded by a dense concentration of hotels and motels (over 15 within two miles, including well-known brands like Fairfield Inn, Best Western, La Quinta Inn, Residence Inn, and Hampton Inn). The property also benefits from proximity to numerous national retailers such as Walmart, Verizon, Subway, and Sally's Beauty, creating a synergistic retail environment. The Eddy County location, with APN 4157129431295, offers a compelling investment prospect for discerning buyers. This property is part of a larger five-property portfolio, also available for acquisition.