Net Leased Freddy’s Frozen Custard & Steakburgers Sold Date March 3, 2025
The Boulder Group has completed the sale of a single tenant Freddy’s Frozen Custard & Steakburgers sale leaseback property located at 301 Doug Baker Blvd, Birmingham, AL for $1,833,333. Zach Wright and Brandon Wright represent the seller and purchaser in the transaction. The seller was a Freddy’s franchisee and the purchaser was a Midwest-based 1031 exchange investor.
The Freddy’s Frozen Custard & Steakburgers is positioned within a regional retail destination that includes a Publix, Dick’s Sporting Goods, Golf Galaxy, Hobby Lobby, AMC, and Panera. The property is located just off Highway 280 (56,000+ VPD) and in an extremely affluent area with average annual household income exceeding $173,000 within three miles.
The Freddy’s Frozen Custard & Steakburgers property features a new 20-year absolute triple net lease with zero landlord responsibilities and 2% annual rental increases. Freddy’s has approximately 550 locations across 36 states and is one of the fasted growing chains in the United States.
This was the 5th Freddy’s Frozen Custard & Steakburgers property sold by Zach Wright and Brandon Wright within the past thirteen months. The two previously sold the four lowest cap rates ever recorded nationally for Freddy’s properties according to CoStar.
“Freddy’s properties offer excellent real estate investment opportunities in addition to their made-to-order steakburgers and frozen custard. Most of their restaurants are well-located in dynamic retail trade areas and feature long-term triple net leases backed by strong franchisees. We continue to see substantial investor interest in Freddy’s properties,” stated Zach Wright, Vice President.
“Low rent and low price point quick service restaurant properties continue to be highly sought after amongst net lease investors,” added Brandon Wright, Associate.
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