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, drive-thru equipped, franchisee-guaranteed Taco Bell investment property located in Reed City, Michigan. The tenant, Bells and Birds, Inc. (dba Taco Bell) will sign a brand new 15-year lease at the close of escrow with 4 (5-year) options to extend. The lease features 10% rental increases every 5 years throughout the initial term and options, growing NOI and hedging against inflation. The lease is franchisee guaranteed by a 43-unit operator and is absolute NNN with zero landlord responsibilities, making this an ideal, management-free investment opportunity for a passive investor. Founded in 1962, Taco Bell has quickly become the world’s leading Mexican-inspired QSR brand with more than 7,100 locations across 30 countries.

The Taco Bell is strategically located next to the on/off ramps for U.S Highway 131 and U.S. Highway 10, which average a combined 22,200 vehicles passing by daily. The site benefits from excellent visibility via significant street frontage, a large monument sign along 220th Avenue, and a large pylon sign visible from both adjacent highways. Furthermore, the building is equipped with a drive-thru, providing ease and convenience for customers. On average, stores with drive-thrus experience higher sales than those without. In addition, the subject property is ideally situated next to Shell, BP, and Westco gas stations beside the on/off ramps to U.S. Highway 131, further increasing consumer traffic to the site. Other nearby national/credit tenants include Rite Aid, Family Dollar, Dollar General, Ace Hardware, McDonald’s, Burger King, and more. Strong tenant synergy increases consumer draw to the immediate trade area and promotes crossover store exposure to the site. With extremely limited nearby competition, the subject property offers an immediate fast-food option for highway travelers and locals alike. The 5 mile trade area is supported by over 6,100 residents and 3,100 employees, with an average household income of $65,000.

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