Overview

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 leased, drive-thru equipped, freestanding Zaxby’s investment property located in Birmingham, Alabama. The tenant, Credit to Chicken, LLC has approximately 19 years remaining in their current term and 4 (5-year) options to extend, demonstrating their long-term commitment to the site. The lease features 2% annual rental increases beginning in year 7 of the initial term and throughout each option period, 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 passive investor. Founded in 1990, Zaxby’s is a well-known and popular concept that has grown to over 925 locations across 19 states.

Zaxby’s is strategically located along Chalkville Mountain Road, an arterial thoroughfare serving the retail corridor which serves 40,000 vehicles per day. Furthermore, the site benefits from nearby access to Interstate 59 (57,300 VPD) and Old Springville Road (14,500 VPD), making this an ideal, centralized location with easy commutes. The asset is ideally situated as an outparcel at Trussville Promenade, a 293,000 SF community center anchored by Sam’s Club, Kohls, and PetSmart. Other nearby national/credit tenants include Walmart Supercenter, Publix, Ross, Big Lots, Marshalls, Tractor Supply, Ashley HomeStore, and more. Strong tenant synergy increases consumer draw to the immediate subject trade area and promotes crossover tenant exposure to the site. The site is equipped with a drive-thru, providing ease and convenience for customers. On average, sites with drive-thrus experience higher sales than those without. The 5-mile subject trade area is supported by more than 91,000 residents and 32,000 daytime employees who earn an average household income of more than $85,000.

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