mcdonalds - san antonio, tx - om...rent commencement: lease expiration: rental increases: tenant...
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216 N. Coast Hwy 101, Encinitas, CA 92024
PAUL BONANNO(760) 452-2402 [email protected]
ERIK SJOLUND(310) [email protected]
KEVIN SPILSBURY(702) [email protected]
JEFF BERGER(760) [email protected]
www.NNNsearch.comSEARCH OUR CURRENT INVENTORY @
CORPORATE GROUND LEASE
11031 CULEBRA ROAD | SAN ANTONIO, TEXAS
In Assoication with Texas Broker Lunsford Capital
OFFERING OVERVIEW
Net Lease Realty Partners is excited to present the rare opportunity to acquire the fee simple interest in a corporate ground leased McDonald's site, built in 2008. The McDonald’s ground lease is well situated across from Alamo Ranch, a power center located on the southwest corner of the intersection of Culebra Road and Loop 1604. National retailers occupying Alamo Ranch include Super Target, Lowe’s, JC Penny, Best Buy, Dick’s Sporting Goods, Michael’s, Ross, Marshall’s, Sketchers Factory Outlet, Pets Mart, Toys R Us and Babies R Us, Bath and Body Works, Five Below and Office Max.
Built in 2008, the subject property is on a 20 year ground lease to the McDonald's Corporation of America (McDonald's USA, LLC.). There are approximately 10 years left currently on the original lease term. The lease calls for 10% rental increases to the landlord every 5 years which is a strong hedge against inflation. This passive investment is a heritage asset that will surely be highly sought after for years to come.
Subject Property Interior
INVESTMENT HIGHLIGHTS
Extremely Rare McDonald’s USA Signed Ground Lease – McDonald’s Corporation boasts a stronger than average S&P Rating of BBB+
Original 20 Year Lease Term – Upon completion of building in 2008, McDonald’s USA, LLC. Signed a 20 Year Ground Lease.
Approximately 1-mile from William Taft High School & Culebra Park -W.H. Taft High School has a student body of approximately 3,220 students currently enrolled and boasts a 97% graduation rate.
Surrounded By Residential Developments – The site is within walking distance of the Meadow Creek Apartments (204 Units, Built in 2017). The site is also within a mile of the Hidden Meadows Residential community as well as the Thirty Oaks Apartment Homes (297 Units, Built in 2015) and The Westwood Apartment Homes (Built in 2013).
Dense Retail Corridor – The property is well situated in a dense retail corridor. Other nearby retailers include Arby’s, Taco Bell Valero, Burger King, In N Out, Raising Canes, Starbuck’s, Wal-Mart, Target, Home Depot, Hobby Lobby, Firstmark CU, HEB. Lowe’s and more.
$ 2,235,000PRICE:
NOI: $ 102,852 / Year
Cap Rate: 4.60%
SITE ADDRESS:
PRICE:
CAP RATE:NET INCOME (NOI):
Gross Leasable Area (GLA):Lot Size:Year Built:Ownership Type:
Tenant Trade Name:Signing Entity Name:
Lease Type:Original Lease Term:Remaining Lease Term:Rent Commencement:Lease Expiration:
Rental Increases:Tenant Options:Right of First Refusal:
11031 CULEBRA ROAD SAN ANTONIO, TX
$ 2,235,000 4.60%$ 102,852 / YEAR
3,793 SQFT1.112 ACRES2008Fee Simple
McDonald’s McDonald’s USA, LLC.
Absolute Ground Lease 20 Years+/- 10 YearsNovember 9, 2007 November 22, 2028
10% Every 5 Years(4) X 5 Year OptionsYes
YEARS 1-5
YEARS 6-10
YEARS 11-15
YEARS 16-20
$ 85,008
$ 93,508
ORIGINAL LEASE:
OPTIONS:
OPTION 1
$ 102,852 (Current)
$ 113,137
OPTION 2
OPTION 3
OPTION 4
$ 124,450
$ 136,896
$ 150,585
$ 165,644
McDonald's NNN Investment
LOCAL DEMOGRAPHICS:
Population: 8,164 100,437 244,876
AHHI: $79,218 $87,868 $90,200
Culebra Road: 30,000+ ADTFrontage Rd & Culebra RD: 50,000+ ADTLoop 1604: 90,000+ ADT
1-Mile | 3-Mile | 5-Mile
30 Oaks Apartments (297 Units)
Hidden Meadows’ Community
Meadow Creek Apartments204 Units, Built 2017
Meadow Creek Apartments204 Units, Built 2017
McDonald's is an American fast food company, founded in 1940. McDonald's is the world's largest restaurant chain by revenue, serving over 69 million customers daily in over 100 countries across approximately 36,900 outlets as of 2016. Although McDonald's is best known for its hamburgers and French fries they also feature chicken products, breakfast items, soft drinks, milkshakes, salads, wraps and deserts
The McDonald's Corporation revenues come from the rent, royalties, and fees paid by the franchisees, as well as sales in company-operated restaurants. According to a BBC report published in 2012, McDonald's is the world's second-largest private employer (behind Walmart) with 1.9 million employees, 1.5 million of whom work for franchises.
SAN ANTONIO, TEXAS
The City of San Antonio, is the seventh-most populous city in the United States, and the second-most populous city in both Texas
and the Southern United States, with more than 1.5 million residents. Founded as a Spanish mission and colonial outpost in 1718,
the city became the first chartered civil settlement in present-day Texas in 1731. The area was still part of the Spanish Empire, and
later of the Mexican Republic. Today it is the state's oldest municipality.
SAN ANTONIO, TEXAS
SAN ANTONIO, TEXAS
SAN ANTONIO, TEXAS