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Chick-fil-A Ground Lease, Dublin, GA

Chick-fil-A Ground Lease, Dublin, GA


Investment Summary

Price $3,125,000
Cap Rate 4.00%
NOI $125,000
Lease Term 20 years
Lease Type Absolute NNN ground lease, with tenant responsible for all taxes, insurance, and maintenance, including roof, structure, and parking lot
Rental Increases 10% rental increases every five (5) years
Year Built 2023
Building Size +/- 5,240 SF
Lot Size 3.00 acres (130,680 SF)
Status Under Contract
Lead Brokers Vincent Aicale
Vice Chairman
415.690.5522
vince.aicale@cushwake.com
CA RE License #01728696

Michael T. Yuras, CCIM
Vice Chairman
415.481.0788
michael.yuras@cushwake.com
CA RE License #01823291

Ryan Forsyth
Vice Chairman
415.413.3005
ryan.forsyth@cushwake.com
CA RE License #01716551

Scott Crowle
Executive Managing Director
415.604.4288
scott.crowle@cushwake.com
CA RE License #01318288

Investment Highlights

NEW 20-YEAR ABSOLUTE NNN CORPORATE GROUND LEASE
» New 20-year absolute NNN corporate ground lease with 10% rental increases every five (5) years
» Ten (10) option periods of five (5) years each, providing an excellent long-term investment opportunity with the » largest chicken chain in the U.S. with over 2,900 units
Chick-fil-A generated $18.8B in U.S. system sales in 2022, up approximately 13% from 2021
» The highest-volume stand-alone location in 2022 generated approximately $17M and the lowest volume generated $2.2M with drive-thru locations averaging more than $8.5M per unit
» Chick-fil-A restaurants average more than $8M in sales annually among non-mall locations

PROMINENT LOCATION SURROUNDED BY HOTELS, SCHOOLS, AND MAJOR EMPLOYERS
» Strategically located at the signalized intersection of Hartley Road and U.S. Route 441 (20,310 AADT), a 939-mile-long auxiliary route extending from Miami, FL to Rocky Top, TN
» Highly visible from Interstate 16 / James L Gillis Senior Memorial Highway (25,100 AADT)
» Surrounded by numerous hotels such as Fairfield Inn & Suites (75 rooms), Hampton Inn & Suites(70 rooms), La Quinta Inn & Suites by Wyndham (69 rooms), Holiday Inn Express & Suites (92 rooms), and Baymont by Wyndham (40 rooms)
» Down the street from Oconee Fall Line Technical College (1,835 students) and West Laurens Middle School (958 students)
» Less than four miles from some of Dublin’s largest industrial employers: Farmer’s Home Furniture – Distribution Center (608 employees), YKK AP America (483 employees), Flexsteel Industries (248 employees), Best Buy – Distribution Center, and Perry Ellis – Distribution Center
» Less than five miles from Dublin’s two hospitals: Fairview Park Hospital (190 beds; 805 employees) and Carl Vinson VA Medical Center (340 operating beds, including 161 nursing care beds and a 145-bed domiciliary for Veterans)
» Large national retailers in the area include LongHorn Steakhouse, Cracker Barrel Old Country Store McDonald’s, Dunkin’, Burger King, KFC, Taco Bell, Dollar General, and Chrysler Dodge Jeep Ram

2023 CONSTRUCTION BUILT TO LATEST CHICK-FIL-A PROTOTYPE
» New high-quality 2023 construction built to latest Chick-fil-A prototype
» Site features a dual-lane drive-thru and ample parking on a large 3-acre parcel, providing a significant additional revenue stream and added customer convenience

Property Description

» Excellent Visibility: Located at the signalized intersection of U.S. Highway 441 and Hartley Road, and highly visible from Interstate 16 with access to a combined 45,410 vehicles per day
» Surrounded By Hotels: Across the street from Fairfield Inn & Suites, Hampton Inn & Suites, and La Quinta Inn & Suites by Wyndham, providing convenience for traveling guests as well as increased foot traffic
» Beneficial Proximity to Schools: Within walking distance of Oconee Fall Line Technical College (1,835 students) and West Laurens Middle School (958 students)
» Convenient Location Near Major Employers: This Chick-fil-A is less than five miles from some of Dublin’s major employers: Farmer’s Home Furniture – Distribution Center (608 employees), YKK AP America (483 employees), Flexsteel Industries (248 employees), Best Buy – Distribution Center, Perry Ellis – Distribution Center, Fairview Park Hospital (190 beds; 805 employees), and Carl Vinson VA Medical Center (340 operating beds)
» Poised to Serve Growing Suburb: 19,160 residents live within five miles of this site, supported by an average household income of $61,385
» High Quality 2023 Construction: Built to the latest Chick-fil-A prototype, the site features a dual-lane drive-thru and ample parking on a large 3-acre parcel

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