BURGER KING - LoopNet...Burger King consists of 3,053-square feet of gross leasable area and is...

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This information has been secured from sources we believe to be reliable, but we make no representations or warranties, expressed or implied, as to the accuracy of the information. References to square footage or age are approximate. Buyer must verify the information and bears all risk for any inaccuracies. Any projections, opinions, assumptions or estimates used herein are for example purposes only and do not represent the current or future performance of the property. Marcus & Millichap Real Estate Investment Services is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2018 Marcus & Millichap

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598 ATLANTA HWY | CUMMING, GAOffering Memorandum

BURGER KING598 ATLANTA HIGHWAYCUMMING, GA 30040

STEVEN J. SIEGEL | SENIOR MANAGING DIRECTORExecutive Director - Institutional Property Advisors (IPA)

Senior Managing Director - Investments

National Retail Group

Net Leased Properties Group

Office: (212) 430-5166Cell: (646) 996-3709E-mail: [email protected] License: NY: 30SI0857139 NJ: 0015107 CT: REB.0754170

EXCLUSIVELY LISTED BY :

SUBJECT PROPERTY

John LeonardGA Broker of Record

Lic. # 252904

598 ATLANTA HWY | CUMMING, GA


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M&M CAPITAL CORPCHRISTOPHER MARKSFirst Vice President - Capital Markets, Origination

Office: (212) 430-5137Cell: (516) 448-3293E-mail: [email protected]

Investment Contacts

STEVEN J. SIEGELExecutive DirectorInstitutional Property Advisors (IPA)Senior Managing Director - Investments

Office: (212) 430-5166Cell: (646) 996-3709E-mail: [email protected] License: NY: 30SI0857139

NJ: 0015107CT: REB.0754170

STEVEN J. SIEGELAssociate DirectorSJS & Partners LLC

Office: (212) 430-5293 Cell: (914) 525-7735E-mail: [email protected] License: NY: 10401253283

PHIL BIANCAVILLAAssociate DirectorSJS & Partners LLC

Office: (212) 430-5293 Cell: (914) 525-7735E-mail: [email protected] License: NY: 10401253283

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Table of Contents

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Investment Overview

Offering Summary

Property Details

Tenant & Lease Overview

Maps

Demographic

Location Overview



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SUBJECT PROPERTY

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Investment OverviewMarcus & Millichap is pleased to present for sale a Burger King in Cumming, GA. The property consists of 3,053-square feet of gross leasable area and is situated on a 1.37-acre lot (59,677 SF). The subject is comprised of a single-story building with a drive-through lane, 29 parking spaces, and is positioned on a hard corner at the four-way, signalized intersection. The property is tenanted and operated by GPS hospitality on a Triple-Net (NNN) lease through September 2035, with just under 15 years remaining in the base term and four 5-year extension options. There are attractive 7.5% increases every five-years during the base term and each option period. The property underwent a $450,000 renovation that was completed in April of 2018. GPS Hospitality is one of the top three largest Burger King operators in the country with 424 +/- Burger Kings under operation. In addition to Burger King, GPS operates 75 +/- Pizza Hut’s and 19 +/- Popeyes. According to Franchise Times GPS has revenues of $567MM and continues to grow. The lease is guaranteed by GPS Hospitality,

Investment Highlights

LLC, a subsidiary of GPS Hospitality, with 94 +/- units behind the guaranty. Burger King sits on a hard corner at the four-way signalized intersection of Atlanta Highway (13,000 Vehicles Per Day) & Buford Highway (29,600 Vehicles Per Day). The property sits in the center of a major retail corridor and is an outparcel to the Cumming 400 Shopping Center anchored by Publix. Burger King is directly across the street from the Cumming Marketplace, anchored by Home Depot, Lowe’s, Kohls, and Target. Other national retailers in the area include Bank of America, Wells Fargo, RaceTrac, AutoZone, TJ Maxx, Ashley Home Store, Walmart, Wendy’s, Taco Bell, McDonald’s, KFC, Chick-Fil-A, LA Fitness, and many more. Burger King is also directly across from Northside Hospital, a 320-bed facility with 750 physicians and 3,000 staff personnel. Burger is located in a dense and affluent area with 45833 people living within a 3-mile radius making an average household income of $131,914.

Just under 15 years remaining years remaining on a triple-net (NNN) Burger King, tenanted and operated by GPS Hospitality

Burger King consists of 3,053-square feet of gross leasable area and is situated on a 1.37-acre lot (59,677 SF) with a drive thru lane

Attractive rent increases of 7.50% every 5 years throughout the base term and four 5-year options

GPS Hospitality is one of the top three largest Burger King operators in the country with 424 +/- Burger Kings under operation. Guaranteed by GPS Hospitality, LLC, a subsidiary of GPS Hospitality, with 94 +/- units behind it.

Underwent a $450,000 renovation that was completed in April of 2018

On a hard corner at the four-way signalized intersection of Atlanta Highway (13,000 Vehicles Per Day) & Buford Highway (29,600 Vehicles Per Day)

Outparcel to the Cumming 400 Shopping Center anchored by Publix, directly across the street from the Cumming Marketplace, anchored by Home Depot, Lowe’s, Kohls, and Target, directly across from Northside Hospital, a 320-bed facility with 750 physicians and 3,000 staff personnel

Located in a dense and affluent area with 45,833 people living within a 3-mile radius making an average household income of $131,914



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Offering Summary

PRICE

Gross Leasable AreaPrice Per SFCurrent NOI

Cap Rate

Lease Years RemainingExpiration

Lot Size Lease Type

PERIOD COMMENCEMENT DATE EXPIRATION DATE ANNUAL RENT MONTHLY RENT RPSF PERCENTAGE INCREASE

Years 1-5 10/1/2015 9/30/2020 $116,966.64 $9,747.22 $38.31

Years 6-10 10/1/2020 9/30/2025 $125,739.14 $10,478.26 $41.19 7.50%

Years 11-15 10/1/2025 9/30/2030 $135,169.58 $11,264.13 $44.27 7.50%

Years 16-20 10/1/2030 9/30/2035 $145,307.30 $12,108.94 $47.59 7.50%

Option 1 10/1/2035 9/30/2040 $156,205.35 $13,017.11 $51.16 7.50%

Option 2 10/1/2040 9/30/2045 $167,920.75 $13,993.40 $55.00 7.50%

Option 3 10/1/2045 9/30/2050 $180,514.80 $15,042.90 $59.13 7.50%

Option 4 10/1/2050 9/30/2055 $194,053.41 $16,171.12 $63.56 7.50%

Rent Schedule

5.00%

3,053 SF September 30, 2035

1.37 Acres

$824

$125,739

14.8 Years

NNN

$2,515,000

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Property Details

Street Address 598 Atlanta Road

City State Zip Cumming, GA 30040

County Forsyth County

Tax Parcel Number C20 014

Lot Size 1.27 Acres

Gross Leasable Area (GLA) 3,053

Number of Stories One with Drive-Through

Year Built/Renovated 2007

Parking 30 Spaces

Zoning CBD



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Tenant & Lease Overview

Tenant Overview - GPS Hospitality Company Overview

Tenant GPS Hospitality, LLC

Original Lease Term 20 years

Remaining Term 15 years

Lease Expiration 9/30/35

Lease Type NNN

Rent Escalations 7.50% Every 5 Years

Annual Rent $125,739.14

Rent per SF $38.31

Expenses None

Options Four, 5-Year Options

Guarantor Franchise

Company Burger King Worldwide, Inc.

Type Public

Industry Fast Food

Ticker Symbol NYSE: SQR

Annual Sales $16 Billion

Credit Rating/Rating Agency S&P / BB-

Number of Locations 17,800

Headquarters Miami, FL

Website www.bk.com

Year Founded 1954

GPS Hospitality, LLC was founded by Tom Garrett in 2012 and is based in Atlanta, Georgia. GPS Hospitality owns and operates a franchise of Burger King's, Pizza Hut's, Popeyes throughout 14 states. GPS Hospitality began with 42 Burger King stores in the Atlanta region and has since grown to become the 3rd largest Burger King franchisee. The Atlanta-based company announced a deal to purchase 194 Burger King restaurants from California-based Strategic Restaurants Acquisition Corp. The deal has expanded GPS across Alabama, Arkansas, Florida, Louisiana and Mississippi and puts the company at 425 Burger King locations and 19 Popeye's locations. Today GPS operates 425 +/- Burger Kings, 75 +/- Pizza Huts, and 19 +/- Popeyes.

Burger King is an American Global chain of hamburger fast food restaurants. Headquartered in Miami, FL, Burger King was founded in 1954. Burger King has over 17,700 locations in 100 countries. Of these, nearly half are located in the United States and 99.7% are privately owned and operated. Restaruant Brands International (RBI) is one of the world’s largest quick service restaurant companes with more than $32 Billion in system-wide sales and approximately 26,000 retaurants in more than 100 countries and U.S. territories. RBI owns three of the world’s most prominent and iconic quick service restaurant brands: Burger King, Tim Hortons, and Popeyes. These independently operated have been serving their respective guests, franchisees, and communities for over 50 years.

Guarantee 94 +/- Units

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*Borders are approximate and to be used for reference purposes only.

Parcel Map

CUMMING 400 CUMMING 400 SHOPPING CENTERSHOPPING CENTER

ATL

ANTA

HW

Y | 38

,800 V

PD

ATL

ANTA

HW

Y | 38

,800 V

PD

SUBJECT PROPERTYSUBJECT PROPERTY

BUFORD HIGHWAY | 20,280 VPDBUFORD HIGHWAY | 20,280 VPD

BUFORD RD | 20,280 VPDBUFORD RD | 20,280 VPD



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Parcel Map

BUFORD HWY | 29,600 VPD

BUFORD HWY | 29,600 VPD

AT

LA

NT

A H

WY

| 1

3,0

00

VP

DA

TL

AN

TA

HW

Y |

13

,00

0 V

PD

SUBJECT PROPERTYSUBJECT PROPERTY

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Regional Map

SUBJECT PROPERTY

Cumming



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Retail Map

N

20

SUBJECT PROPERTY

30,300 VPD

30,300 VPD63,0

00

VPD

63,0

00

VPD

Lakeland Plaza

Cumming 400 Shopping Center

Cumming Marketplace

V

eterans Mem

orial Blvd 30,300 V

PD

V

eterans Mem

orial Blvd 30,300 V

PD

20

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Location Overview

3 MILE RADIUS OF 598 ATLANTA HIGHWAY | CUMMING, GA



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CHICAGO, IL CHICAGO, IL

About CUMMING, GEORGIACumming is a city in Forsyth County, Georgia, United States, and the sole incorporated area in the county. It is an exurban city, and part of the Atlanta metropolitan area. Its population was 5,430 at the 2010 census, up from 4,200 in 2000. Surrounding unincorporated areas with a Cumming mailing address have a population of approximately 100,000. Cumming is the county seat of Forsyth County. (source: Wikipedia)

The city is located north of Atlanta on GA 400’s Hospitality Highway. The jewel of this community is Sawnee Mountain Preserve, a 963-acre preserve with hiking trails, Indian Seats, tree canopy classroom, playground, picnic pavilions, climbing area, amphitheater and Visitor Center. A pleasant drive out of

town, Poole’s Mill Park and historic covered bridge straddles Nail Creek. Bald Ridge and Habersham Marinas are situated on Lake Sidney Lanier where there is plenty of year-round fishing, boating, swimming and camping.

At night, the Cumming Playhouse comes alive with live performances throughout the year. Balloons Over Georgia is based in Cumming, but offers a variety of ballooning trips at many locations in Georgia. Golfers will find Lanier and Country Land Golf Clubs both affordable and challenging. The Cumming Fairgrounds hosts annual events such as antique car shows, antique tractor shows, rodeos, Indian Festival, 4th of July Celebration, Quarter Midget Racing, and Christmas Arts & Crafts Show and Celebration, but the highlight is the 10-day Cumming Country Fair & Festival in October. (source: https://www.exploregeorgia.org/city/cumming)

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Pulled from STDB.com

2025 Summary 1 Mile 3 Miles 5 MilesPopulation 5,115 45,833 129,156Households 2,284 16,327 44,534Families 1,233 11,602 33,773Average Household Size 2.13 2.77 2.89Owner Occupied Housing Units 1,271 12,926 37,470Renter Occupied Housing Units 1,014 3,401 7,065Median Age 39.3 37.4 37.7Median Household Income $64,265 $101,827 $113,593Average Household Income $90,537 $131,914 $153,316



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BURGER KING - LoopNet...Burger King consists of 3,053-square feet of gross leasable area and is...

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