Single Tenant Burger King Property For Sale Date February 24, 2017
The Boulder Group is pleased to exclusively market for sale a single tenant Burger King located in New Braunfels, Texas. The property is strategically located along Interstate-35 in a dominant retail corridor. The Burger King has excellent visibility to the approximately 115,000 vehicles per day that travel along Interstate-35. The triple net lease features rental escalations in the primary term and in each renewal option period. The lease is guaranteed by Magic Fries, LLC, the entity operating all of the Sun Holdings, Inc.’s Texas Burger King restaurants. Sun Holdings, Inc. is the 9th largest total Franchise owner in the United States.
The 4,196 square foot single tenant Burger King building is strategically located along Interstate-35 in a dominant retail corridor in the San Antonio–New Braunfels Metropolitan Statistical Area, approximately half way between Austin and San Antonio. The Burger King has excellent visibility and direct on and off access to the approximately 115,000 vehicles per day that travel along Interstate-35. The Burger King is well located in a major retail destination. A brand new HEB Plus grocery store was recently constructed across the street from the property. The property is located across the interstate from the Town Center at Creekside, which is anchored by Target, JC Penney, Best Buy, Belk, Dick’s Sporting Goods, TJ Maxx, Hobby Lobby and Creekside Cinemas 14. Additionally, the property is benefitted by its proximity to the recently constructed Resolute Health Hospital (138 beds).
The Burger King is located in the immediate vicinity to a 1.3 million square foot Walmart distribution center that employs over 1,000 people. The surrounding area is experiencing tremendous expansion with annual population growth projected to be over 3% within three miles. There are approximately 63,000 people living within a five mile radius earning average household incomes of $75,000.
The lease has over 15 years remaining and features 5% rental escalations in year 5, 10, and each renewal option period. The lease is triple net and features zero landlord responsibilities. The single tenant Burger King lease is guaranteed by Magic Fries, LLC, the entity operating all of the Sun Holdings, Inc.’s Texas Burger King restaurants. Sun Holdings, Inc. is the 9th largest total Franchise owner in the United States.
INVESTMENT HIGHLIGHTS
- Located within the San Antonio Metropolitan Statistical Area, approximately half way between Austin and San Antonio on Interstate-35
- Long term lease with over 15 years remaining
- 5% rental escalations in year 5, 10, and each renewal option period
- Absolute triple net lease with no landlord responsibilities
- Over 3% annual projected population growth within three miles of the property
- Located along Interstate 35 with excellent visibility to approximately 115,000 VPD
- Dominant retail destination that features Target, JC Penney, Best Buy, Belk, Dick’s Sporting Goods, TJ Maxx, Hobby Lobby and HEB Plus grocery store
- Immediate vicinity to a 1.3 million square foot Walmart distribution center that employs over 1,000 people
- Located in New Braunfels, the 2nd fastest growing city among those with more than 50,000 residents in 2015
- Tenant is required per the lease to remodel the premises to meet Franchisor’s current branding requirements by December 2017