burger king - matthews · burger king is a global chain of hamburger fast food restaurants...

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R E T A I L A D V I S O R SOffering MeMOranduM

Burger King 2225 10th St, MenOMinee, Mi 49858

representative Photo

Matthews retail advisors

COnfidentiaLitY & diSCLaiMer StateMent

this Offer ing Memorandum contains select informat ion pertaining to the business and af fa i rs of Burger King located at 2225 10th St, Menominee, MI 49858 (“Property”) . i t has been prepared by Matthews retai l advisors . this Offer ing Memorandum may not be al l - inclusive or contain a l l of the informat ion a prospect ive purchaser may desire. the informat ion contained in th is Offer ing Memorandum is conf ident ia l and furnished solely for the purpose of a review by a prospect ive purchaser of the Property. i t is not to be used for any other purpose or made avai lable to any other person without the wri t ten consent of Sel ler or Matthews retai l advisors . the mater ia l is based in part upon informat ion suppl ied by the Sel ler and in part upon f inancial informat ion obtained from sources i t deems rel iable. Owner, nor their of f icers , employees, or agents makes any representat ion or warranty, express or impl ied, as to the accuracy or completeness of th is Offer ing Memorandum or any of i ts contents and no legal l iabi l i ty is assumed or shal l be impl ied with respect thereto. Prospect ive purchasers should make their own project ions and form their own conclusions without rel iance upon the mater ia l contained herein and conduct their own due di l igence.

By acknowledging your receipt of th is Offer ing Memorandum for the Property, you agree:

1 . the Offer ing Memorandum and i ts contents are conf ident ia l ;

2 . You wi l l hold i t and treat i t in the str ictest of conf idence; and

3. You wi l l not , d i rect ly or indirect ly, d isclose or permit anyone else to disclose this Offer ing Memorandum or i ts contents in any fashion or manner detr imental to the interest of the Sel ler.

Owner and Matthews retai l advisors expressly reserve the r ight , at their sole discret ion, to reject any and al l expressions of interest or of fers to purchase the Property and to terminate discussions with any person or ent i ty reviewing this Offer ing Memorandum or making an of fer to purchase the Property unless and unt i l a wr i t ten agreement for the purchase and sale of the Property has been ful ly executed and del ivered.

i f you wish not to pursue negot iat ions leading to the acquis i t ion of the Property or in the future you discont inue such negot iat ions, then you agree to purge al l mater ia ls relat ing to th is Property including this Offer ing Memorandum.

a prospect ive purchaser ’s sole and exclusive r ights with respect to th is prospect ive t ransact ion, the Property, or informat ion provided herein or in connect ion with the sale of the Property shal l be l imited to those expressly provided in an executed Purchase agreement and shal l be subject to the terms thereof. in no event shal l a prospect ive purchaser have any other c la ims against Sel ler or Matthews retai l advisors or any of their af f i l iates or any of their respect ive of f icers , directors , shareholders, owners, employees, or agents for any damages, l iabi l i ty, or causes of act ion relat ing to th is sol ic i tat ion process or the market ing or sale of the Property.

this Offer ing Memorandum shal l not be deemed to represent the state of af fa i rs of the Property or const i tute an indicat ion that there has been no change in the state of af fa i rs of the Property s ince the date this Offer ing Memorandum.

eXCLuSiVeLY LiSted BY:

Table of ContentsPriCing & finanCiaL anaLYSiS

investments highlights.................................................................. 2executive Summary.........................................................................3Company Overview .......................................................................4

PrOPertY deSCriPtiOnPhysical description .......................................................................7tenant Map....................................................................................... 8regional Map ................................................................................... 9Bird’s eye .........................................................................................10

deMOgraPhiCSCity Overview | Menominee, Mi ................................................. 12demographics report .................................................................. 13

gary Choudirector | restaurant Practice group direCt +1.310.919.5827 MOBiLe +1.714.928.8016 [email protected] License no. 01911222

Michigan Broker of recorddZ net Lease realty, LLC License no. 6505381227

Matthews retail advisors representative Photo

Pricing & Financial Analysis

OFFERING MEMORANDUM | Burger KingP. 2 Matthews retail advisors

PRICING AND FINANCIAL ANALYSIS PROPERTY DESCRIPTION DEMOGRAPHICS

Investments HighlightsQuaLitY natiOnaL tenant and OPeratiOnS

• Strong national Brand – Burger King is the second largest hamburger chain in the world with over 13,000 stores in operations

• Strong franchisee guarantee – tri City foods, inc. is the second/third largest Burger King franchisee based out of downers grove, iL

• absolute nnn Lease – Zero landlord responsibilities• updated Burger King concept

StrOng retaiL COrridOr

• this Burger King is located on the Lake Michigan shoreline• Large residential area within a mile radius of Burger King • Located on the main retail corridor directly next to the Menominee

airport • national tenants in the area include: family dollar, Subway, Little

Caesars Pizza, KfC, and taco Bell

Matthews retail advisors P. 3Burger King | OFFERING MEMORANDUM


Executive Summary

Burger King2225 10th St MenOMinee, Mi 49858

List Price ............................................................................................ $1,077,000CaP rate - Current ...................................................................................9.00%gross Leasable area ......................................................................... 4,200 SfLot Size ..................................................................... 0.90 acres (39,204 Sf)Year Built ........................................................................................................1986

annualized Operating dataMonthly rent annual rent CaP rate

Current - 2/1/2019 $8,075.79 $96,909.48 9.00%

Option 1 - 2/1/2024 $8,075.79 $96,909.48 9.00%

Option 2 - 2/1/2029 $8,075.79 $96,909.48 9.00%

tenant Summary

tenant trade name Burger King

type of Ownership fee Simple

Lease guarantor franchisee

Lease type nnn

roof and Structure tenant responsible

Original Lease term 20 Years

Lease Commencement date 2/16/1999

rent Commencement date 2/16/1999

Lease expiration date 2/1/2019

term remaining on Lease 0.9 Years

increases none - Percentage rent

Options two (2) 5-Year Optionsrepresentative Photo



Company Overview

Burger King is a global chain of hamburger fast food restaurants headquartered in Miami, florida. the company began in 1953 as insta-Burger King. but after financial difficulties in 1954, two large franchisees in Miami, purchased the company and renamed it Burger King. in 2002, a third set of owners, a partnership of tPg Capital, Bain Capital, and goldman Sachs Capital Partners, took it public. eight years later, 3g Capital of Brazil acquired a majority stake in BK and the new owners promptly initiated a restructuring of the company to reverse its declining market share. 3g, along with partner Berkshire hathaway, merged the company with Canadian-based doughnut chain tim hortons under a new Canadian-based parent company, restaurant Brands international which was founded on august 25, 2014. the multinational giant currently serves customers in uS and Canada, europe, Middle east and africa, Latin america, the Caribbean, and asia Pacific.

Property name Burger King

Property type net Leased Quick Service restaurant

Parent Company trade name restaurant Brands international inc.

Ownership Public

Credit rating B+

rating agency Standard & Poor’s

revenue $1.97 B

net income $117.7 M

Stock Symbol QSr

Board nYSe

no. of Locations ±13,000

no. of employees ±34,000

headquartered Miami, fL

Web Site http://www.bk.com/

Year founded 1953

Property Description



representative Photo



Physical Description

the Offering

Property name .................................................................................... Burger King

Property address ..............................................................................2225 10th St

Menominee, Mi 49858

assessor’s Parcel number ............................................................051-2168-002

Site deSCriPtiOn

number of Stories .............................................................................................One

Year Built .............................................................................................................1986

gross Leasable area (gLa) .................................................................. 4,200 Sf

Lot Size...............................................................................1.07 acres (46,609 Sf)

type of Ownership ...............................................................................fee Simple

Landscaping ........................................................................................Professional

topography ................................................................................... generally Level

COnStruCtiOn

foundation .......................................................................................Concrete Slab

framing .............................................................................................................Wood

exterior ............................................................................................ Painted Stucco

Parking Surface ............................................................................................asphalt

roof ........................................................................................................................flat



Tenant Map



Regional Map



Bird’s Eye

Demographics


PRICING AND FINANCIAL ANALYSIS PROPERTY DESCRIPTION DEMOGRAPHICS PRICING AND FINANCIAL ANALYSIS PROPERTY DESCRIPTION DEMOGRAPHICS

City Overview | Menominee, MI

Menominee is a city located in northern Michigan, in the upper Peninsula. the population was 8,599 at the 2010 census. Menominee is the fourth-largest city in the upper Peninsula of Michigan, and the county seat of Menominee County. the city is known for its tourism, manufacturing, and natural beauty.

Since Menominee is a waterfront location, it has long been a hub for tourism in Michigan. the city is ideal for boaters, as it has a variety of ports of dock throughout; from full service marinas with boater lounges, to privately secured slips. Menoninee is excellent for camping as well, as it contains 7 large parks with campgrounds. in addition to these outdoor activities, the city offers a range of golf courses that are both affordable and convenient.

the greater Menominee area is home to a variety of industries, including shipbuilding, auto parts, chemicals, helicopter design and construction, airplane components, health care, and paper making. in good financial times, some local companies have reported a shortage of skilled workers. the types of jobs available locally include assemblers, building and grounds technicians, machine operators, electricians, and shipping operators.



Demographics ReportPopulation 1-Mile 3-Mile 5-Mile2020 Projection 5,459 18,536 22,4472015 estimate 5,509 18,666 22,5902010 Census 5,598 18,941 22,9082000 Census 5,979 20,287 24,487

households2020 Projection 2,569 8,658 10,4672015 estimate 2,562 8,612 10,4072010 Census 2,557 8,573 10,3562000 Census 2,652 8,828 10,615growth 2015-2020 0.27% 0.54% 0.58%growth 2010-2015 0.22% 0.45% 0.49%growth 2000-2010 -3.58% -2.88% -2.44%

income$0 - $15,000 17.80% 18.08% 18.08%$15,000 - $24,999 12.84% 13.53% 13.53%$25,000 - $34,999 13.43% 11.74% 11.74%$35,000 - $49,999 17.76% 16.44% 16.44%$50,000 - $74,999 21.39% 20.25% 20.25%$75,000 - $99,999 9.09% 10.15% 10.15%$100,000 - $124,999 4.22% 5.55% 5.55%$125,000 - $149,999 2.38% 2.74% 2.74%$150,000 - $199,999 0.78% 0.87% 0.87%$200,000 - $249,999 0.16% 0.28% 0.28%$250,000 - $499,999 0.16% 0.30% 0.30%$500,000+ 0.00% 0.07% 0.07%2015 est. average household income $46,852 $49,449 $50,542 2015 est. Median household income $40,019 $41,069 $42,008

Matthews retail advisors | 841 apollo Street, Suite 150 | el Segundo, Ca 90245 | www.Matthews.com

Burger KIng2225 10th StMenominee, Mi 49858Offering MeMOranduM

gary Choudirector | restaurant Practice group direCt +1.310.919.5827 MOBiLe +1.714.928.8016 [email protected] License no. 01911222

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Michigan Broker of recorddZ net Lease realty, LLC License no. 6505381227

burger king - matthews · burger king is a global chain of hamburger fast food restaurants...

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