Chattanooga, TN - Dutch Bros

Description:

SRS National Net Lease is pleased to offer the opportunity to acquire the leased fee interest (land ownership) in an absolute NNN leased, Dutch Bros investment property located in Chattanooga, Tennessee. The tenant, Dutch Bros, recently signed a brand new, 15-year lease with 4 (5-year) options to extend, demonstrating their commitment to the site. The lease features 10% rental increases every 5 years throughout the initial term and at the beginning of each option period, steadily growing NOI and hedging against inflation. The site features a newly-constructed, drive-thru equipped building with modern amenities and design. The lease is absolute NNN with zero landlord responsibilities making it an ideal, management free investment opportunity for a passive investor.

The subject property is located at the signalized, hard corner intersection of Stanley Ave and E Brainerd Rd with a combined (27,800 VPD). The site benefits from nearby direct on/off ramp access to Interstate 75, a major thoroughfare that averages over 130,300 vehicles passing by daily. The asset is located in a dense retail corridor, with numerous nearby national/credit tenants including Target, Kohl’s, Whole Foods, Chick-fil-A, Publix, Walmart Neighborhood Market, and many more. Strong tenant synergy increases consumer draw to the immediate trade area and promotes crossover store exposure to the site. Furthermore, the subject property is in close proximity to Hamilton Villas (128 units) and Lennox Commons Apartments (43 units), further increasing consumer traffic to the immediate trade area. The 5-mile trade area is supported by a population of over 102,000 and 67,000 employees, providing a direct consumer base from which to draw. Residents within a 1-mile radius of the subject property boast an affluent average household income of $121,072.