McDonald’s Ground Lease,
San Antonio, TX Investment Summary
| Price | $3,061,000 |
| Cap Rate | |
| NOI | |
| 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 | 4,320 SF |
| Lot Size | 1.569 acres (68,346 SF) |
| Status | Closed |
| Lead Brokers | Vincent Aicale Vice Chairman 415.690.5522 vince.aicale@cushwake.com CA RE License #01728696 Ryan Forsyth Vice Chairman 415.413.3005 ryan.forsyth@cushwake.com CA RE License #01716551 Michael T. Yuras, CCIM Vice Chairman 415.481.0788 michael.yuras@cushwake.com CA RE License #01823291 Scott Crowle Executive Managing Director 415.604.4288 scott.crowle@cushwake.com CA RE License #01318288 |
Investment Highlights
NEW 20-YEAR ABSOLUTE NNN GROUND LEASE TO INVESTMENT-GRADE TENANT
» New 20-year absolute NNN ground lease with scheduled rental increases every five years in initial term and option periods
» Absolute NNN lease requires no landlord management, ideal for an out-of-area investor
» McDonald’s (NYSE: “MCD”) is the world’s largest chain of hamburger fast food restaurants, serving over 69 million customers daily in 120 countries across 39,198 outlets
» McDonald’s is an investment grade tenant, with a “BBB+” credit rating from Standard & Poor’s and a “Baa1” credit rating from Moody’s
EXCELLENT LOCATION AT THE CONFLUENCE OF MAJOR SAN ANTONIO THOROUGHFARES
» High-visibility and easily accessible location near the signalized intersection of U.S. Route 281 & Bulverde Road (42,205 AADT)
» Located near the confluence of major U.S. thoroughfares, including Interstates 35, 410, 10, 37, and 35
» Excellent proximity to major national tenants such as Sam’s Club, Target, The Home Depot, H-E-B Plus, In-n-Out, Whataburger, and many more
» Centrally located with proximity to major San Antonio community hubs and attractions, including Natural Bridge Caverns, TPC San Antonio, and Joint Base Camp Bullis
DENSELY POPULATED AND GROWING TEXAS CITY WITH EXCELLENT SUBURBAN DEMOGRAPHICS
» 116,236 residents live within five miles of the property
» Excellent annual household income of $147,996 within a three-mile radius of the property
» Projected population and income increases within 1-, 3-, and 5-mile radii over the next five years poise McDonald’s and San Antonio for steady concurrent growth
» Gateway to Downtown San Antonio, the urban core of Greater San Antonio serving 2.5 million people
NEW 2023 CONSTRUCTION IN A TAX-FREE STATE
» New high-quality 2023 construction built to latest McDonald’s prototype
» Site features a dual-lane drive-thru for added customer convenience
» Texas is an income tax-free state
Property Description
SOLD
» This McDonald’s has a high-visibility and easily accessible location near the signalized intersection of U.S. Route 281 & Bulverde Road (42,205 AADT)
» The property is centrally located near the confluence of major U.S. thoroughfares, including Interstates 35, 410, 10, 37, and 35
» Ideally set in a large retail corridor, the property is surrounded by notable tenants such as Sam’s Club, Target, The Home Depot, H-E-B Plus, In-n-Out, Whataburger, and many more, creating significant crossover shopping
» The site greatly benefits from its proximity to major San Antonio community hubs and attractions, including Natural Bridge Caverns, TPC San Antonio, and Joint Base Camp Bullis
» 116,236 residents live within a five-mile radius of the site with an excellent average annual household income of $147,996 within three miles of the site, providing an extremely large and reliable customer base
» Projected population and income increases within 1-, 3-, and 5-mile radii over the next five years poise McDonald’s and San Antonio for steady concurrent growth
