THE OPPORTUNITY

In November 2017, Shopoff acquired 2,096 subleases and leasehold interests, and 65,000 square feet of industrial and retail, on 830 acres for $23 million in Cathedral City, California. Strategically located in Coachella Valley, the properties benefit from their proximity to Palm Springs and Rancho Mirage, two of Southern California’s most prominent destinations. Cathedral City has emerged as a key area for business expansion, with notable employment growth driven by companies establishing or expanding their presence in the community.

The subleases are a part of two master ground lease agreements with individual allottees on the Aqua Caliente Indian Reservation. Commercial properties on subleases include the DoubleTree by Hilton Hotel Golf Resort Palm Springs, Desert Princess Country Club, and Cathedral Canyon Business Park.

HOW SHOPOFF IS ADDING VALUE

After streamlining operations across the various properties, the firm began working on highlighting the unique strengths of each asset.

Here is the current status of each property:

• Cathedral Canyon Business Park was sold in June 2022.
• Date Palm Interiors was sold in September 2025.
• Falcon Lake Master Ground Lease is actively being marketed for sale and covers 1,113 condominiums, the Welk Resorts Country Club, Cathedral Canyon Business Park, and a storage facility, with the current lease expiring in 2061.
• Las Estancias Master Ground Lease is actively being marketed for sale and covers 978 condominiums, a hotel, and a country club, with the current lease expiring in 2069.

Disclosures

An investment in a Shopoff fund involves a high degree of risk, including the possible loss of your entire investment, and is illiquid with an uncertain liquidity date. This material does not constitute an offer to sell or a solicitation of an offer to buy any security. Securities offered through Shopoff Securities, Inc. Member FINRA/SIPC.

These properties are one of a number of properties that are managed by Shopoff Realty Investments, and owned by open and closed investment funds. For the listing of all Shopoff’s current holdings visit: https://www.shopoff.com/current-assets/