Chick-fil-A Ground Lease,
Texas City, TX Investment Summary
| Price | $2,938,000 |
| Cap Rate | |
| NOI | |
| Lease Term | 15 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 | 2019 |
| Building Size | 4,880 SF |
| Lot Size | .91 Acres (39,770 SF) |
| Status | Sold |
| Lead Brokers | Michael T. Yuras, CCIM Cushman & Wakefield 415.481.0788 michael.yuras@cushwake.com CA RE License #01823291 Scott Crowle Senior Director 415.604.4288 scott.crowle@cushwake.com CA RE License #01318288 Vincent Aicale Cushman & Wakefield 415.690.5522 vince.aicale@cushwake.com CA RE License #01728696 Ryan Forsyth Cushman & Wakefield 415.413.3005 ryan.forsyth@cushwake.com CA RE License #01716551 Jack Hinson Brokerage 704.572.9921 jack.hinson@cushwake.com CA RE License #02059267 |
Investment Highlights
NEW 15-YEAR ABSOLUTE NNN GROUND LEASE WITH SCHEDULED RENTAL INCREASES
» 15-year NNN ground lease with 10% rental increases every five years in initial term and option periods, providing a hedge against inflation
» As of 2019, Chick-fil-A is the largest chicken chain and the third largest American fast food restaurant chain
GROCERY ANCHORED – HIGH-TRAFFIC LOCATION
» Shadow anchored by leading grocery stores H-E-B and Aldi
» Excellent visibility and access to 29,984 AADT on Palmer Highway
» Across from to Kroger-anchored shopping center
» Surrounded by residential neighborhoods (six apartment complexes within a onemile radius)
» The five-mile AHHI is expected to increase by over 16% between 2019-2024
» Surrounded by several national retail brands like McDonald’s, Popeyes, Taco Bell, Starbucks, Lowe’s Home Improvement, Sonic Drive-In, KFC, Domino’s Pizza, Jack in the Box, Burger King, Subway, Baskin-Robbins, Wendy’s, and many more
CENTRAL LOCATION NEAR LARGE SCHOOLS, EMPLOYERS, AND COASTAL ATTRACTIONS
» Within two miles of Texas City High School (1,900+ students) and Blocker Middle School (900+ students)
» Near HCA Houston Healthcare Mainland (217 beds, 725 employees, $730 million in annual total patient revenue)
» A short distance from attractions like Galveston Bay, Gulf of Mexico, Bayou Golf Course (18-hole, par 72 course), Nessler Park Family Aquatic Center, Moses Lake, and Dollar Bay
NEW 2019 CONSTRUCTION
» Features dual-lane drive-thru
» New building, limiting near-term deferred maintenance or capital costs
Property Description
SOLD
The property is strategically located on Palmer Highway, with excellent visibility and access to 29,984 vehicles per day directly in front of the location, and 33,461 vehicles per day on the immediately accessible Emmett Lowry Expressway. The site is centralized in a densely populated retail corridor and is shadow-anchored by leading grocery stores H-E-B and Aldi in Palmer Plaza. The population around the site is growing, as six (6) apartment complexes reside within one mile of the location. Other major tenants near the property include Kroger, McDonald’s, Popeyes, Taco Bell, Starbucks, Lowe’s Home Improvement, Sonic Drive-In, KFC, Domino’s Pizza, Jack in the Box, Burger King, Subway, Baskin-Robbins, Wendy’s, and many more.
The location benefits from its proximity to of Texas City High School (1,900+ students) and Blocker Middle School (900+ students). Visibility is increased with close proximity to Texas City’s primary healthcare provider, HCA Houston Healthcare Mainland (217 beds, 725 employees, $730 million in annual total patient revenue). Additionally, the property is located between Houston and popular coastal attractions like Galveston Bay, the Gulf of Mexico, Nessler Park Family Aquatic Center, Bayou Golf Course (18-hole, par 72 course), Moses Lake, and Dollar Bay.
