Overview

Description

SRS National Net Lease Group is pleased to offer the opportunity to acquire the fee simple interest (land and building ownership) in an absolute NNN, freestanding, drive-thru equipped, Krispy Kreme investment property located in Sacramento, California. The tenant recently executed a brand new 15-year lease with 4 (5-year) options to extend, demonstrating their long-term 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 lease is absolute NNN with zero landlord responsibilities, making this an ideal, management-free investment opportunity for a passive investor. Headquartered in Charlotte, North Carolina, there are over 360 Krispy Kreme locations in the United States, and over 1,400 worldwide.

Krispy Kreme is strategically located off State Highway 99, a heavily traveled commuter freeway serving the Sacramento MSA, with an average of 213,000 vehicles passing by daily. Furthermore, the site benefits from a large pylon sign, creating excellent visibility, and multiple points on ingress/egress. The building is also complete with a drive-thru, providing ease and convenience for customers. On average, stores with drive-thus experience higher sales than those without. Located within a dense retail corridor, the property is ideally situated across from to Florin Towne Centre, a 480,000+ SF center anchored by major tenants including Walmart Supercenter, Dollar Tree, Pet Smart, and Auto Zone. Other nearby national credit/tenants include The Home Depot, 99 Cents Only, dd’s Discounts, Food Maxx, Goodwill and many more. Strong tenant synergy increases consumer draw to the immediate trade area and promotes crossover store exposure to the site. The 5-mile trade area is supported by more than 397,000 residents and 119,000 employees, providing a direct consumer base from which to draw. Residents within 5 miles of the site boast an average household income of $92,362.

---