Los Angeles, CA – December 2018, Centers Business Management (CBM) completes a new leasing transaction with an expanding Peruvian restaurant in a prime East Los Angeles retail shopping center.
CBM property manager, Roselene White, recently completed a lease transaction, representing the landlord and tenant, Mancora Peruvian Cuisine, an expanding area restaurant, on a 1,800 SQFT unit in a rehabbed shopping center. The property is situated at the major signalized intersection of Atlantic Boulevard and Pomona Boulevard in unincorporated East Los Angeles. Situated and just southwest of the 60 Freeway’s Atlantic Boulevard exit, and immediately across Atlantic Boulevard from the Metro Gold Line Atlantic Station, the site falls into a Metro Transit Ordinance District. A thriving, well-patronized center, the property hosts diverse mix of A+ national and regional tenants, including McDonald’s (in a pad space on the intersection’s hard corner), Subway, Oportun Financial, Boost Mobile, Liberty Tax Service, Adriana’s Insurance and more.
Mancora Peruvian Cuisine presently operates one additional store, the eatery’s original location, in Alhambra, California, just north of Pasadena. Specializing in “authentic” Peruvian fare, Mancora hopes to build on the success of its current locations and expand further in the greater Los Angeles County marketplace.
“The landlord has been seeking to change the complexion of this center by ushering in additional restaurant tenants,” says property manager Roselene White, adding “And we’ve have made great strides in the direction, with McDonald’s anchoring the center, and Subway in place,” to name a few of the property’s notable food-use tenants. But this shift has not come without challenges. Southern California municipalities have a long history of frequently denying food-use tenants operating permits, sighting a failure to meet onerous parking restrictions. “Under typical circumstances, this center wouldn’t meet the parking requirements necessary to accommodate the current number of restaurant tenants,” notes White. “But thanks to the Metro Transit Ordinance District, which eases parking guidelines specifically for restaurant uses in commercial properties adjacent to Metrorail stations, we’re able to host all the food-related-uses currently in place. And we’re seeking fill remaining vacancies with additional food-use tenants,” White adds in reference to her efforts to bring more restaurants to the center.
In addition to grappling with parking, the tenant also struggled to marshal the funds necessary to complete their unit’s interior build-out. “Mancora was having real trouble securing construction financing. But the contractor Mancora hired to handle the project agreed to underwrite the building costs,” says White highlighting the tenant’s out-of-the-box funding solution that ultimately got the deal done.
“Restaurants continue to be the most active retail tenants. But this deal exemplifies two of the biggest challenges food-use tenants encounter: parking restrictions and construction financing,” says CBM President, Rick Rivera. “The Metro Transit Ordinance District loophole has proven a game-changer that’s facilitated a complete transformation of this center,” notes Rivera, adding “And we hope municipalities will continue to recognize the need for flexibility with often over-barring parking regulations.” Rivera also underscores the need for “creative solutions when it comes to funding build-outs and other construction projects” many independent restaurant tenants require when expanding into new locations.
For more information about CBM and their retail leasing and property management services, please contact: Rick Rivera 310.575.1517 x201 | firstname.lastname@example.org.