Salinas, CA - Carl's Jr

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, drive-thru equipped, corporate guaranteed, Carl’s Jr. investment property located in Salinas, California. The tenant, Carl’s Jr. Restaurants, LLC, plans to remodel the store and recently extended their lease term by 15 years, with 3 (5-year) options to extend, demonstrating their long-term commitment to the site. The lease features 1.75% annual increases throughout the initial term and option periods, steadily growing NOI and hedging against inflation. The lease is absolute NNN with zero landlord responsibilities making it an ideal, management-free investment opportunity for a passive investor. Today, CKE Restaurants have more than 1,000 locations across the U.S. and serves 28 countries worldwide.

Carl’s Jr. is located at the signalized, hard corner intersection of North Davis Road and Post Drive, which serves over 32,000 vehicles per day. The site benefits from nearby access to State Hwy 101, a major highway through Northern California, averaging 68,100 vehicles passing by daily. The subject property is adjacent to Laurel West Shopping Center, a 180,000 SF community center anchored by In Shape Health Club. Furthermore, the subject property is within walking distance of Westridge Shopping Center, a 540,000 SF power center that’s home to Walmart, Costco, Dicks, Ross, Boot Barn, Office Max, Joann, and more. Other nearby national/credit tenants include Target, Home Depot, Lowes, Kohl’s, Hobby Lobby, Big Lots, Best Buy, Safeway, and more. Strong tenant synergy increases consumer draw to the immediate subject trade area and promotes crossover store exposure to the site. Moreover, the asset is positioned less than 2 miles north of Hartnell College, which has a current enrollment of over 12,000 students, providing a direct consumer base from which to draw. In addition, the site is equipped with a drive-thru, providing ease and convenience for customers. On average, stores with drive-thrus experience higher sales than those without. The 5-mile subject trade area is supported by over 174,000 residents and 57,000 employees who earn an average household income of more than $95,000.