The offering provides an opportunity to acquire a new construction Dutch Bros located in the Seattle MSA in Washington - an income tax free state. The corporate guaranteed lease features a 15-year absolute NNN lease with four 5-year options to extend and 10% increases every five years in the base term and options. The store is currently under construction with an estimated store opening/rent commencement date of October 1, 2019.
The subject property is located 35 miles north of Seattle, just minutes off I-5 on State Avenue, one of the key commercial corridors in Marysville. Dutch Bros is across the street from a Safeway grocery store that is open 24 hours per day. Dutch Bros is surrounded by a massive cluster of nationally branded retail including The Home Depot, Walmart Supercenter and Cabela’s, as well as Dollar Tree, Grocery Outlet, Fred Meyer, Ross, Kohl’s, PetSmart, and many more. The subject property is also within a half-mile of eight grade schools, including four elementary schools, two middle schools and two high schools. The site features outstanding visibility, ingress and egress and benefits from traffic counts exceeding 15,700 cars per day.
Dutch Bros coffee is the country’s largest privately held, drive-thru coffee company. Having started from humble beginnings, as a single espresso pushcart in the small town of Grants Pass, Oregon, the company now has over 320 locations across seven western states. Dutch Bros franchise development has also been noted by Forbes as having one of the strongest track records. Dutch Bros Coffee has always focused more on people than the bottom line, with a desire to transform lives rather than conduct transactions.