Raising Cane’s Ground Lease,
Houston, TX Investment Summary
| Price | $2,625,000 |
| 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 | 2023 |
| Building Size | 3,181 SF |
| Lot Size | 1.14 Acres (49,681 SF) |
| Status | Sold |
| Lead Brokers | Scott Crowle Executive Managing Director 415.604.4288 scott.crowle@cushwake.com CA RE License #01318288 Michael T. Yuras, CCIM Vice Chairman 415.481.0788 michael.yuras@cushwake.com CA RE License #01823291 Vincent Aicale Executive Managing Director 415.690.5522 vince.aicale@cushwake.com CA RE License #01728696 Ryan Forsyth Executive Managing Director 415.413.3005 ryan.forsyth@cushwake.com CA RE License #01716551 |
Investment Highlights
NEW 15-YEAR ABSOLUTE NNN CORPORATE GROUND LEASE TO GROWING QSR TENANT
» New 15-year absolute NNN corporate ground lease to high sales volume tenant
» 10 percent rental increases every five years, providing a hedge against inflation
» No landlord management, ideal for an out-of-area investor
» Raising Cane’s opened more than 120 locations between 2020 and 2021
» Raising Cane’s plans to add 100 locations in 10 markets and over 15,000 jobs in 2022
PROMINENT LOCATION WITH A STRONG HOUSTON CUSTOMER BASE
» Prominent location near the signalized intersection of Gessner Road and Long Point Road (61,643 AADT)
» Proximity to major Houston thoroughfares, including Interstate 10 and Sam Houston Tollway (combined 362,275 AADT)
» Population of 360,635 within a five-mile radius, creating a large customer base for the site
» Average annual household income of $123,343 within three miles of the location (with a projected seven percent increase by 2026)
HIGH-VISIBILITY SITE NEAR DOWNTOWN HOUSTON
» Beneficial proximity to several large local and national retailers, including Walmart Supercenter, Costco, Sam’s Club, The Home Depot, Lowe’s, Best Buy, H-E-B, and more
» One mile from Memorial Hermann Memorial City Medical Center (444 beds, 1,700 employees)
» Surrounded by high-density, single family housing developments and large townhouse complexes
» 13 miles from Downtown Houston (the fourth-most populous city in the U.S. with over 2.3 million residents)
NEW 2023 CONSTRUCTION IN A TAX-FREE STATE
» New 2023 construction built to latest Raising Cane’s prototype
» Site features a dual-lane drive-thru for added customer convenience
» Texas is an income tax-free state
Property Description
SOLD
This Raising Cane’s property is located near the signalized intersection of Gessner Road and Long Point Road (61,643 AADT). The site also features proximity to major Houston thoroughfares, including Interstate 10 and Sam Houston Tollway (combined 362,275 AADT). The location is set in a densely populated community, with 360,635 residents living within a five-mile radius of the property, creating a large and consistent customer base for the site. The property resides in an affluent area, with an average annual household income of $123,343 within five miles and is projected to increase seven percent by 2026, poising Raising Cane’s and Houston for concurrent growth.
Visibility to the property is increased by the site’s location near Downtown Houston. The site features a beneficial proximity to several large local and national retailers, including Costco, Walmart Supercenter, Sam’s Club, The Home Depot, Lowe’s, Best Buy, H-E-B, and many more. The property greatly benefits from its strategic location immediately surrounded by high-density, single family housing developments and large townhouse complexes. Additionally, the property is one mile from Memorial Hermann Memorial City Medical Center (444 beds, 1,700 employees) and 13 miles from Downtown Houston, the fourth-most populous city in the U.S. with over 2.3 million residents.
