Listing price: $1,134,613
11747 124th ave. Ne kirkland washington
Property status: closed
Cap rate: 6.50%
Net operating income: $73,750
Lease term: 20 years
Escalations: 10% every 5 years
Options: four, 5-year options
Tenant guarantor: northwest restaurants oregon, inc
Rentable sq ft: 2,630
Price per sq ft: $431.41
Lot size: 0.96 acres
Year built: 1989
 
Market area:
Investment highlights

■ brand new, absolute 20-year nnn lease ■ franchisee guarantee

■ kirkland, washington ■ 80+ unit operator

■ 10% rental increases every 5 years ■ four, 5-year options

The subject investment is a kentucky fried chicken quick-service restaurant located in kirkland, washington. The property sits on approximately 0.96 acres of land and is comprised of roughly 2,630 square feet of building space.

The property will be subject to a new 20-year absolute, triple net "nnn" lease with no landlord responsibilities. The lease will call for 10% rental increases every 5 years and there will be four, 5-year options to renew on the lease. The lease will be guaranteed by northwest restaurants, inc., which is backed by approximately 29 franchisee operated units throughout washington.

Demographics:
The subject property is located at 11747 124th avenue in kirkland, washington. Kirkland is located in king county which has the highest population of all the counties in washington state. Approximately twenty-three minutes from seattle, the population of kirkland is roughly 49,000 people. The residents of kirkland are served by boeing field-king county international airport, and by the seattle amtrak station. This kfc is positioned on 124th avenue which has an average daily traffic count of 15,000+ vehicles. It is located a half mile off i-405. interstate 405 is a heavily trafficked thoroughfare with average daily traffic counts of 164,000+ vehicles.

The subject property is located across the street from a ford dealership, several hundred feet from elite kids learning academy, hertz rent-a-car, subway, as well as a hyundai and infiniti dealership. Other retailers in the immediate area include fred meyer supermarket, motel 6, comfort inn, 7-eleven, firestone auto center and officemax. Located 1 mile east is lake washington technical college, a commuter campus, which has approximately 2,481 students. This kfc benefits from the scarcity of quick-service restaurants in the area and captures the majority of the kirkland and commuter population as a result of its location.

In addition, this kfc is located within 1 mile of several medical specialty practices. These private medical providers total over 30 individual locations that surround evergreen hospital medical center. The 275 bed hospital is located just 1 mile north of kfc.

Tenant information:
The tenant is northwest restaurants inc, a seattle, washington based company that operates more than 80 yum! Branded franchises. Operations include taco bell, kentucky friend chicken, long john silver's, pizza hut, and a&w restaurant, with various dual-branded locations throughout washington, oregon, north carolina, and south carolina.

Northwest restaurants inc was founded in 1994, but management has been in the kfc and yum! Family since 1969. northwest restaurants is a cornerstone of the yum! Branded franchise community and prides itself on its excellent management teams, always hot and timely food, and outstanding customer service.