The Boulder Group, a net leased investment brokerage firm, has completed the sale of a single tenant net lease Krispy Kreme located at 2700 E Beltline Ave SE in Grand Rapids, Michigan for $1,600,000.<\/p>\n
The net lease Krispy Kreme property is well located in a dominant retail corridor featuring two premium malls and many national retailers. Woodland Mall, which totals 1.2 million square foot and is 97% occupied, is located directly across from Krispy Kreme and is anchored by Macy\u2019s, JCPenney, Von Maur (2019), The Apple Store and Celebration Cinema. Further, the Shops at CenterPoint, along with all the surrounding retail activity, where Krispy Kreme occupies an ideally-located outparcel, recently completed $38 million in renovations and is anchored by Nordstrom Rack, TJ Maxx\/HomeGoods and Planet Fitness. Adjacent to Krispy Kreme is a newly-constructed Chick-fil-A that drives additional traffic to the location. Importantly, Krispy Kreme experiences substantial traffic along East Beltline Ave SE (36,548 VPD) and 28th St SE (34,014 VPD), totaling more than 80,000 vehicles per day. In additional to the mall traffic, large nearby retailers such as Lowe\u2019s, Sam\u2019s Club, Home Depot, Costco and Target draw more consumers to the area as well.<\/p>\n
Randy Blankstein and Jimmy Goodman of The Boulder Group represented both the seller and purchaser in the transaction. The seller was a joint venture based in the North East and the purchaser was a high net worth investor based in Florida.<\/p>\n
Krispy Kreme recently exercised an early renewal option, showing their commitment to the location. The lease features 10% rental escalations every five years throughout the primary term, as well as in each of the three remaining renewal option periods (five years each). The lease is absolute triplet net with zero landlord responsibilities.<\/p>\n
\u201cThe market for properties in the Top 60 MSAs remains active as these assets are in high demand among private investors.\u201d said Randy Blankstein, President of The Boulder Group. Jimmy Goodman, Partner of The Boulder Group, added, \u201cSingle tenant quick service restaurant properties continue to be in high investor demand as they are less affected by e-commerce.\u201d<\/p>\n