Landlord/Owner
Tenant
3 min read

How we secured Chick-Fil-A as a Tenant

Published on
29 Jan
2025
Contributors
Steve Kalyk
Partner & Managing Director
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Contributors
Steve Kalyk
Partner & Managing Director

Executive Summary

Securing Chick-Fil-A as a tenant for the property on Sonoma Boulevard in Vallejo was a transformative project that revitalized a long-vacant site. The land, totaling just under 13 acres, had been sitting idle since the global financial crisis, with multiple brokers previously failing to attract a tenant. The site’s location on the border of American Canyon and its proximity to Highway 29 presented opportunities, but it also came with significant challenges that had to be overcome.

Challenges

For over a decade, there was no movement on the property, largely due to Vallejo’s poor reputation stemming from its 2008 municipal bankruptcy, high crime rates, and a lack of investment in infrastructure, public spaces, schools, and housing. Additionally, there was no existing curb cut off Highway 29, making it difficult to envision accessible development. The city had expressed a preference for a sit-down family-friendly restaurant, but extensive feedback from over 50 national sit-down restaurant tenants made it clear that such a use was highly unlikely for this location.

Approach

To address these challenges, we began by thoroughly analyzing the feedback and communicating with the city to adjust expectations. Recognizing Chick-Fil-A’s need for larger pads and their preference for locations near existing stores, we identified this site as an ideal solution. The existing Chick-Fil-A in Vallejo was already at capacity, with significant stacking issues causing logistical problems for the city. This insight became a pivotal point in our strategy to position the new site as the solution to their needs.

Solution

We worked diligently to tailor a 1.91-acre portion of the property to Chick-Fil-A’s requirements, designing a TRIPLE drive-thru stack to maximize efficiency. One of the most challenging aspects was collaborating with Caltrans to secure a curb cut on Highway 29, a critical step to improving site access. This was no small feat, but it was essential to making the site viable. Additionally, we strategically positioned the site to pull traffic from neighboring areas such as American Canyon and Napa. The City of Napa’s ban on drive-thrus added to the appeal, as this location became the closest opportunity for Napa residents to access Chick-Fil-A.

Results

The results were remarkable. Chick-Fil-A was successfully secured as the tenant, fulfilling the city’s desire for a high-profile family friendly restaurant to elevate the area’s image. The site plan addressed the stacking issues, creating a more efficient and customer-friendly design. The new location has become a regional draw, extending its market reach well beyond Vallejo to include American Canyon and Napa. This project not only brought a nationally recognized brand to Vallejo but also significantly enhanced the city’s economic potential and public perception.

Conclusion

This success story underscores the importance of proactive engagement with cities, addressing their specific needs, and finding creative solutions to challenging market conditions. By working closely with tenants and leveraging unique market insights, it is possible to transform even the most underutilized properties into thriving destinations.

Due to having Chick-Fil-A as a tenant has obviously helped with the lease up of the remaining land, however more to come on that in the future!