Highlights
• 1.32-acre corner parcel at Portola Avenue & El Paseo, a premier Coachella Valley intersection. • Long-term upside potential, priced below residual land value (third-party analysis available). • Located on El Paseo, the “Rodeo Drive of the Desert” luxury retail corridor. • Occupied by USPS for 55+ years with a new 5-year lease plus two 5-year renewal options and 10% rent escalations. • Current rent $15/SF, well below El Paseo market rates. • Only post office within 3 miles, serving ~530,000 residents and 500,000+ seasonal visitors annually.
Description
Pegasus Investments Real Estate Advisory, acting as the exclusive representative for the seller, is pleased to present a rare opportunity to acquire the fee simple interest in a United States Postal Service (USPS) property in Palm Desert, California. Situated on a 1.32-acre corner lot at the intersection of Portola Avenue (18,000 VPD) and El Paseo (5,500 VPD), and just half a block from Highway 111 (45,000 VPD), the property enjoys exceptional visibility in one of Southern California’s most prestigious retail and lifestyle corridors. This USPS location has operated here for over 55 years and recently executed a 5-year lease extension with two additional 5-year renewal options, each including 10% rent increases. The lease is modified gross, with the tenant responsible for real estate taxes, shielding ownership from reassessment exposure. The surrounding El Paseo corridor, often called the “Rodeo Drive of the Desert,” hosts luxury retailers and high-end dining, including Gucci, Tiffany & Co., Apple, Lululemon, Shake Shack, and Mastro’s Steakhouse, and attracts a highly affluent demographic from nearby gated communities such as The Reserve, The Vintage Club, and Ironwood Country Club, where homes routinely exceed seven figures. The USPS property serves as the only location within a three-mile radius and benefits from a growing population of approximately 530,000 permanent residents plus over 500,000 seasonal visitors annually. With a parking ratio of over 21 spaces per 1,000 square feet, the site is well-equipped for both daily and seasonal demand. Beyond stable income from a long-standing government tenant, the property offers significant upside potential. Current rent at $15 per square foot is well below market for the corridor, creating a clear path for future rental growth. The site also represents a covered land play, with acquisition cost below residual land value, and offers potential for redevelopment into mixed-use, ground-leased, or higher-and-better-use scenarios. With predictable income through at least 2030, this property provides investors a rare opportunity to combine short-term cash flow with long-term value creation in one of the Western U.S.’s most sought-after retail markets.
Property Documents
USPS Palm Desert CA Flyer.pdf
703.05 KB
Listing Details
- Cap Rate
5.25%
- Tenancy
Single
- Space Type
Specialty
- Sub Category
Others
- Sale Type
Investment Sale
- Date Listed
10/8/2025
- Ownership Info
Fee Simple
- Broker/Agent Co-op
Yes
- Net Operating Income
$219,577
- Parking Info
3.52/1,000 SF
Property Specifics
- Property Name
45300 Portola Ave - USPS: Trophy El Paseo Corner Parcel
- Property Class
C
- No of Buildings
1
- No of Stories
1
- No of Units
1
- Year Built
1970
- Building Size
14,790 SF
- Lot Size
1.32 Ac
- APN
625-131-007
- Zoning
CPS
- Occupancy
100%