POPEYES SALE LEASEBACK
JAMES CAPITAL ADVISORS, INC.
JAMES CAPITAL ADVISORS
MARKETING PACKAGE
3900 Calumet Ave Manitowoc, WI 54220
CONTENTS
PAGE
Investment Summary
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Lease Summary
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Property Photos
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Retail Aerial
09
Site Plan
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Rent Schedule
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About the Brand
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Location Overview
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CONTACT INFORMATION
NINA VALTCHANOV
Associate (424) 325-2624 nina@jamescapitaladvisors.com
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`POPEYES - MANITOWOC, WI
INVESTMENT SUMMARY Tenant Street Address City State Zip GLA Lot Size Year Built
Popeyes 3900 Calumet Avenue Manitowoc WI 54220 2,650 SF
$2.0M 5.50% 5.50% $110,000 $110K $2,000,000 PURCHASE PRICE
CAP RATE
NET OPERATING INCOME
1.27 AC
Price / SF
$754.72
2019
Rent / SF
$41.51
Absolute NNN Lease / Fee Simple, Zero Responsibilities At closing, the Tenant will execute a new 20-year lease. The tenant will be responsible for all repairs and maintenance during the lease term and the rental payments will be absolute net to the Landlord. 2019 Construction | 20-Year Absolute NNN Sale-Leaseback A former Hardee’s, Popeyes is newly constructed and subject to a brand new 20-year absolute NNN lease, commencing upon close of escrow. Strong Brand Recognition | 218% Increase in Popeyes Traffic Long after the chicken sandwich sold out on August 27, 2019 the visits kept coming. The last Friday and Saturday of August were still 96.7% and 72.1% higher than the July average. High Performing and Pandemic Proof Location This site is one of tenant’s top performing locations, with sales remaining steady during the pandemic via their drive-thru and take-out services. Please contact agent for further details.
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3900 CALUMET AVE, MANITOWOC, WI 54220
POPEYES - MANITOWOC, WI
LEASE SUMMARY Lease Type
Real Estate Taxes
Tenant Responsible
Insurance
Tenant Responsible
20 Years
Roof & Structure
Tenant Responsible
Close of Escrow
Lease Guarantor
Franchisee
Lease Expiration
20 Years From COE
Company Name
SmitCo Eateries
Term Remaining
20 Years
Type of Ownership Original Lease Term Commencement Date
Increases Options
Absolute Net (NNN) Fee Simple
Ownership
Private
7.5% Every 5 Years Two (2), 5-Year
High-Traffic Location at Gateway to Manitowoc The subject Popeyes is ideally positioned on a hard corner, at the confluence of South 39th Street and US-151 (Calumet Avenue), with excellent visibility and access from both roadways. Located in Manitowoc’s Retail Gateway The property is adjacent to O’Reilly Auto Parts and is less than 0.5 miles from Harbor Town shopping center; with retailers including Lowe’s, Kohl’s, OfficeMax; Walmart Supercenter, Aldi, and more. Hub for New Development There are several projects planned within immediate proximity to the subject Popeyes, including the construction of a Meijer Supermarket, expected to open in 2020; just 2 miles away. Irreplaceable Real Estate Adjacent to Manitowoc’s 459-Acre Industrial Park Popeyes is less than 2 miles from Manitowoc’s Interstate 43 Technology and Enterprise Campus (I-TEC); a 459-acre industrial park, which is home to some of the city’s largest employers.
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3900 CALUMET AVE, MANITOWOC, WI 54220
POPEYES - MANITOWOC, WI
property photo
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3900 CALUMET AVE, MANITOWOC, WI 54220
POPEYES - MANITOWOC, WI
property photo
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3900 CALUMET AVE, MANITOWOC, WI 54220
POPEYES - MANITOWOC, WI
property photo
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3900 CALUMET AVE, MANITOWOC, WI 54220
POPEYES - MANITOWOC, WI
property photo
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3900 CALUMET AVE, MANITOWOC, WI 54220
POPEYES - MANITOWOC, WI
RETAIL AERIAL - SOuth Facing
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3900 CALUMET AVE, MANITOWOC, WI 54220
POPEYES - MANITOWOC, WI
RETAIL AERIAL - North Facing
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3900 CALUMET AVE, MANITOWOC, WI 54220
POPEYES - MANITOWOC, WI
SITE PLAN
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3900 CALUMET AVE, MANITOWOC, WI 54220
POPEYES - MANITOWOC, WI
RENT SCHEDULE
12
PERIOD
TERM
ANNUAL RENT
MONTLY RENT
INCREASE
CAP RATE
Years 1 - 5
Base Term
$110,000
$9,167
-
5.50%
Years 6 - 10
Base Term
$118,250
$9,854
7.50%
5.91%
Years 11 - 15
Base Term
$127,119
$10,593
7.50%
6.36%
Years 16 - 20
Base Term
$136,653
$11,388
7.50%
6.83%
Years 21 - 25
1st Option
$146,902
$12,242
7.50%
7.35%
Years 26 - 30
2nd Option
$157,919
$13,160
7.50%
7.90%
3900 CALUMET AVE, MANITOWOC, WI 54220
POPEYES - MANITOWOC, WI
ABOUT THE BRAND Popeyes
Popeyes is an American multinational chain of fried chicken fast food restaurants founded in 1972 in New Orleans, Louisiana and headquartered in Miami, Florida. Popeyes distinguishes itself with a unique New Orleans style menu featuring spicy chicken tenders, fried shrimp and other regional items. The chain’s passion for its Louisiana heritage and flavorful authentic food has allowed Popeyes to become one of the world’s largest quick service restaurant chicken concepts with over 2,600 restaurants in the U.S. and around the world. Popeyes Wins the “Chicken Sandwich Wars” Popeyes recently rolled out their clever chicken sandwich marketing campaign with the help of Apex Marketing Group. Apex Marketing Group estimated that Popeyes reaped $65 million in equivalent media value as a result of the Chicken Sandwich Wars. The $65 million figure is nearly triple the $23 million in media value that the sandwich generated in its first few days on sale, according to an earlier Apex estimate.
About the Operator SmitCo Eateries, Incorporated was founded in 1990. Initially, the primary business involved developing and opening Subway Restaurants. In 2002, the company began selling their Subway franchise in order to pursue Popeyes developments in Northwest Arkansas. In 2003, SmitCo became a Popeyes franchisee and opened their first Popeyes location. Brian Smith, co-founder/ CEO, handles the management structure and heads the new store development. Arkansas-based SmitCo Eateries currently owns and operates 9 Popeyes locations throughout Northwest Arkansas, Southwest Missouri and Oklahoma, as well as locations in Appleton, WI; Manitowoc, WI; Fond du Lac, WI; as part of a 15-unit development deal throughout the Green Bay, Wisconsin market. SmitCo prides themselves on their ability to consistently score high on inspections and in increasing sales and profitability throughout all operations. The company is driven by dynamic leaders with extensive marketing and operations expertise across a broad range of business channels. The founders have a proven 30-year track record in leading companies to profitable growth through innovative thinking and execution and are skilled in moving brands and adding value to each concept.
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3900 CALUMET AVE, MANITOWOC, WI 54220
POPEYES - MANITOWOC, WI
LOCATION OVERVIEW
1. Manitowoc Marina 425 Maritime Dr, Manitowoc, WI 54220 3 MILES FROM SUBJECT PROPERTY
2. Univ. Wisconsin - Manitowoc Campus 705 Viebahn St, Manitowoc, WI 54220 3 MILES FROM SUBJECT PROPERTY
3. Krueger International Corporate HQ 1400 S 41st St, Manitowoc, WI 54220 0.5 MILES FROM SUBJECT PROPERTY
4. Lakeside Foods, Inc. 1601 S. 30th St. Manitowoc, WI 54220 1 MILE FROM SUBJECT PROPERTY
5. The Manitowoc Company, Inc. 2110 S 26th St, Manitowoc, WI 54220 1.5 MILES FROM SUBJECT PROPERTY
6. Manitowoc Tool & Manufacturing 4330 Expo Drive, Manitowoc, WI 54220 0.5 MILES FROM SUBJECT PROPERTY
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3900 CALUMET AVE, MANITOWOC, WI 54220
POPEYES - MANITOWOC, WI
LOCATION OVERVIEW
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Manitowoc Marina
univ. wisconsin - manitowoc
krueger intl. corporate hq
This is a full-service marina facility & a boating community with the goal of making all boating experiences amazing.
West of the Lake Gardens is a beautiful, peaceful botanical garden with amazing views of Lake Michigan.
Krueger International, Inc. manufactures a wide variety of furniture products from movable walls to lobby furniture.
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lakeside foods, inc.
manitowoc company, inc.
manitowoc tool & manufacturing
Lakeside Foods, founded in 1887, is a privately held, leading international food processor.
A world-leading provider of engineered lifting solutions with a 116-year tradition of providing high-quality products.
Manitowoc Tool & Machining is an industry leading, precision, contract manufacturer recognized worldwide.
3900 CALUMET AVE, MANITOWOC, WI 54220
POPEYES - MANITOWOC, WI
LOCATION OVERVIEW Manitowoc, WI
Manitowoc is a city in the county of Manitowoc County, Wisconsin. The city is located on Lake Michigan at the mouth of the Manitowoc River. Manitowoc’s location on a natural harbor helped the city grow to its current state. Shipbuilding took root in the mid-19th century, mostly of various lake schooners and clippers. The establishment of the Manitowoc Dry Dock Company in 1902 led to the building of steel vessels and its famed submarine industry during World War II. Known as Wisconsin’s “Maritime Capital,” Manitowoc celebrates its past and its present as a shipbuilding center with fascinating attractions. Charter sport fishing boats and sail out of the city’s modern harbor and marina. The city’s Great Lakes legacy can still be felt at the Wisconsin Maritime Museum. Tourism has also grown as more people flock to the Great Lake for fishing and boating activities. Manitowoc has written it’s name in the history books as a war time vessel and the rich history inside the town can be experienced in one of the many museums open to the public.
Manitowoc, WI Business, Commerce and Industry With its broad range of retail, manufacturing, wholesale, recreation and dining businesses, Manitowoc County enjoys a vibrant economy. A major factor in this economic health is the effort by local companies to upgrade facilities and use new technology to remain competitive. More than 45,000 county residents find employment with area companies, keeping the unemployment numbers well below the national average. Traditional ethnic fare at local restaurants and the delights of first-class confectioners also gives Manitowoc County a unique atmosphere. Manitowoc holds the number one position in high-capacity, lattice-boom crawler cranes for heavy construction, energy-related, duty-cycle, dockside and crane-rental applications, and is one of America’s leading producers of both boom trucks and related material-handling equipment. Manitowoc is also the dominant provider of ship repair, conversion and new construction services for the Great Lakes maritime industry.
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3900 CALUMET AVE, MANITOWOC, WI 54220
POPEYES - MANITOWOC, WI
DEMOGRAPHICS
Demographics
3-Mile
5-Mile
10-Mile
2019 Population
30,159
35,409
55,745
Average Income
$59,932
$59,932
$61,513
Total Businesses
1,549
1,886
2,663
23,880
27,114
34,410
Total # Employees
Facts About Northeast Wisconsin • Manufacturing represents 25% of all gross domestic product (GDP) of Northeast Wisconsin. • 25% of the workforce in the region is employed by manufacturing industries, including defense, pulp and paper, energy, marine, food production, and transportation. • Through the recession, Northeast Wisconsin performed better than most regions in the country in terms of economic performance relating to unemployment and job growth rate.
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3900 CALUMET AVE, MANITOWOC, WI 54220
JAMES CAPITAL ADVISORS, INC.
DISCLAIMER
The information contained in this Marketing Brochure has been obtained from sources believed to be reliable, but the accuracy or completeness of the information contained therein cannot be guaranteed. James Capital Advisors, Inc. & Renee Wurzelbacher (“Broker”) has not, and will not, verify any of this information, nor has Broker conducted, nor will it conduct, any investigation regarding these matters. Broker makes no representations, guarantees, or warranties of any nature about the accuracy or completeness of any information provided. The information provided in this brochure is in no way a substitute for a thorough due diligence investigation by Buyer. Broker has made no investigation of, and has made no representations, guarantees, or warranties of any nature, with regard to income and expenses for this property nor the future financial performance of the property. In addition, Broker has made no investigation of, and has made no representations, guarantees, or warranties as to the size and square footage of the property, the presence of any contaminating substances at the property, the physical condition of the property or compliance with any State, Local or Federal regulations. In addition, Broker has made no investigation of, and has made no representations, guarantees, or warranties of any nature, with regard to the financial condition or future financial condition of any tenants, nor any future plans or intentions of tenants with regard to the continued occupancy of the property. All parties are aware that Broker has no affirmative obligation to conduct a due diligence examination of the property for any Buyer. Any and all projections or estimates used in this Marketing Brochure are for example only and do not represent the current or future performance of this property. Therefore, Broker assumes no legal responsibility for accuracy or completeness of this information, and expressly disclaims all representations, guarantees, or warranties related thereto. The value of the property to any Buyer depends on numerous factors that must be evaluated by Buyer and Buyer’s legal, tax, construction, and financial advisors. Buyer and Buyer’s advisors should conduct a thorough, independent investigation of the property to determine its suitability for Buyer’s intended usage. This investment, as with all real estate investments, carries a substantial risk. As such, Buyer and Buyer’s legal and financial advisors are strongly advised to request and review all legal and financial documentations related to the property and tenants. A tenant’s past performance is not a guarantee of future performance. The lease rate stated for some properties may be based on a tenant’s projected sales with little or no record of actual performance or comparable rents for the area in question. Returns are in no way guaranteed. Tenants may fail to pay the rent or property taxes or any other tenant obligations under the terms of the lease or may default under the terms of such lease. Regardless of tenant’s history of performance, and/or any lease guarantors and/or guarantees, Buyer is responsible for conducting Buyer’s own investigation of all matters related to any and all tenants and lease agreements. Broker is not, in any way, responsible for the performance of any tenant or for any breach or default by any tenant of any terms of any lease agreement related to the property. Further, Buyer is responsible for conducting Buyer’s own independent investigation of all matters related to the value of the property, including, but not limited to, the value of any long-term leases. Buyer must carefully evaluate the possibility of tenants vacating the property or breaching their leases and the likelihood and financial impact of being required to find a replacement tenant if the current tenant should default and/or abandon the property. Buyer must also evaluate Buyer’s legal ability to make alternate use of the property in the event of a tenant abandonment of the property.
CONFIDENTIALITY This Marketing Brochure and the information contained within, is propriety and strictly confidential. It is intended to be used only by the party receiving it from Broker. It should not be made available to any other person or entity without the express written consent of Broker.
RELEASE This Marketing Brochure has been prepared to provide basic, unverified information for prospective purchasers. By accepting this Marketing Brochure, the recipient agrees to release and hold harmless Broker from any claim, demand, liability or loss arising out, or relating in any way, to the information contained in this Marketing Brochure and from Buyer’s investigation of the property. In no event shall James Capital Advisors, Inc. or Broker be liable to any party for any direct, indirect, special, incidental, or consequential damages of any kind whatsoever arising out of the use of this Marketing Brochure or any information contained herein.
NON-ENDORSEMENT Broker is not affiliated with, endorsed by or sponsored in any way by any tenant or lessee identified in this Marketing Brochure. The presence of any entity’s logo or name is not intended in any way to indicate affiliation, sponsorship or endorsement by said entity of Broker.
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FOR INQUIRIES
PLEASE CONTACT RENEE WURZELBACHER
NINA VALTCHANOV
REED MELILLO
MIKE JAMES
(513) 898-1551
(424) 325-2624
(424) 325-2606
(424) 325-2601
Broker of Record
milwaukeebpo@bangrealty.com WI RE Lic. #: 58296-90 Bang Realty - Wisconsin Cincinnati, OH Corp Lic. #: 938148-91
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Associate
nina@jamescapitaladvisors.com CA RE Lic. 02084952
Senior Director
reed@jamescapitaladvisors.com CA RE Lic. 01984199
Managing Director
mike@jamescapitaladvisors.com CA RE Lic. 01869890