Houston, TX - Taco Cabana Mexican Patio Cafe

Description:

SRS National Net Lease Group is pleased to offer the opportunity to acquire the fee simple interest (land & building ownership) in an absolute NNN, freestanding, drive-thru equipped, corporate guaranteed, Taco Cabana investment property located in Houston, TX. The tenant recently exercised their first of four option periods, adding an additional five years of firm term and demonstrating their commitment to the site. The lease features the lesser of CPI or 11.4% rental increases every 5 years throughout the initial term and option periods, growing NOI and hedging against inflation. The lease is guaranteed by the corporate entity and is absolute NNN with zero landlord responsibilities, making it an ideal, management-free investment opportunity for a passive investor. Founded in 1978, Taco Cabana operates 143 restaurants throughout the state of Texas.

Taco Cabana is strategically located along W. Bellfort Avenue (33,600 VPD) with direct on/off ramp access to S. Post Oak Road (102,500 VPD), a thoroughfare connecting several of Houston’s primary commuter highways. The building is complete with a drive-thru, providing ease and convenience for customers. On average, stores with drive-thrus experience higher sales than those without. The property is within walking distance to Meyer Park Shopping Center, a 415,249 SF neighborhood shopping center anchored by Walmart, Kohl’s, Burlington, and Randalls. Other nearby national/credit tenants include Aaron’s, Luby’s, Dollar Tree, O’Reilly Auto Parts, Walgreens, McDonald’s, and more. Strong tenant synergy increases consumer draw to the immediate trade area and promotes crossover store exposure for the site. Furthermore, Taco Cabana is within proximity to multiple apartment complexes including Glen Willow (110 units), Lakeside (296 units), Meyer Forest (345 units), and more, providing a direct residential consumer base from which the site can draw. The 5-mile trade area is supported by 461,872 residents and 393,274 daytime employees with an average household income of $98,408. Residents within a one-mile radius of the property boast an affluent average annual household income of $150,645.