166 SE 2nd Ave - Restaurant FOR SALE


Delray Beach, FL 33444- Downtown Delray Beach
$7,000,000 USD
954-245-3513
166 SE 2nd Ave, Delray Beach, FL for Sale
$7,000,000 USD
Restaurant - FOR SALE
1/11
null | 6% Cap Rate

166 SE 2nd Ave
Delray Beach, FL 33444
Downtown Delray Beach


HIGHLIGHTS

  • Absolute NNN 15-Year Lease - Zero Landlord Responsibilities
  • Entertainment District Zoning - Extended Hours and Sound Ordinance Flexibility
  • Prime Downtown Location - Approximately 1.5 Blocks from Atlantic Avenue & Pineapple Grove
  • Below-Market Base Rents Plus Percentage Rent - Inflation Hedge and Sales-driven Upside
  • Proven Multi-Unit Operator - Strong Existing Locations and Further Expansion Plans in Palm Beach County
  • Supply-Constrained Market - Excellent Long-term Value Preservation

OVERVIEW

This newly leased, absolute triple-net(NNN) restaurant investment is in the heart of Downtown Delray Bea's Entertainment District one of South Florida's most vibrant and supply-constrained urban cores. The property is delivered with a brand-new 15-year absolute NNN lease, delivering long-term, passive income with zero landlord responsibilities. The tenant covers all real estate taxes, insurance, maintenance, roof, and structure Unmatched Downtown Location: Located just 1.5 blocks south of the iconic intersection of Atlantic Avenue and Pineapple Grove widely considered the epicenter of Delray Beach's retail, dining, and nightlife corridor—the asset benefits from prime positioning within the local entertainment district. This zoning allows for extended operating hours and greater flexibility with sound ordinances, a critical advantage for high-energy, destination food-and-beverage concepts. Downtown Delray Beach is highly coveted for its walkability, year-round energy, and strong foot traffic drawn from affluent locals, seasonal residents, and robust tourism. Limited future supply, strict zoning, and consistent tenant demand further support the area's Exceptional Surrounding Density and Institutional Investment's Credit Tenant with Proven Operating History: The property is leased to The Standard, an established and expanding restaurant operator with successful locations in Palm Beach County. The brand has demonstrated strong performance in high-profile downtown settings and continuous growth in premier urban submarkets. Compelling Lease Structure with Built-In Upside: The 15-year absolute NNN lease provides durable income and downside protection, enhanced by a percentage rent clause that offers meaningful growth potential. Current base rents sit below market rates for comparable downtown Delray Beach restaurant space, creating a natural hedge against inflation. The percentage rent provision allows investors to participate directly in the tenant's success as sales increase, while providing rare visibility into unit-level performance through sales reporting a valuable insight not typically available in standard NNN investments. This structure delivers both stability and equity-like upside.

FOR SALE DETAILS

PRICE

$7,000,000 USD

PRICE/SF

$1,054 USD /SF

CAP RATE

6%

% LEASED

-

TENANCY

Single

SALE TYPE

Investment

BUILDING DETAILS

PROPERTY NAME

The Standard - 15 year Absolute Net Lease

PROPERTY TYPE

Retail

PROPERTY SUBTYPE

Restaurant

ADD'L SUBTYPES

Freestanding

TOTAL BUILDING SIZE

-

STORIES

1

YEAR BUILT

1967

SPRINKLERS

-

PARKING SPACES

5

LAND DETAILS

LAND ACRES

0.18 AC

LAND SF

7,649 SF

ZONING

CBD

APN/PARCEL ID

12-43-46-16-01-078-0131

ASK ABOUT THIS PROPERTY

Brian RosenMarcus & MillichapMore Info
954-245-3513

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Brian RosenMarcus & MillichapMore Info
954-245-3513

By clicking the button, you agree to Showcase's Terms of Use and Privacy Notice.