|Last Updated Date||14 Jul 2020|
Jones Lang LaSalle (“JLL”) Capital Markets, Net Lease is pleased to exclusively offer the premier opportunity to acquire a single tenant Chick-fil-A (the “Property”) located in Market at Town Center in Sugar Land, TX - a 2,265-acre master-planned development and employment center in the Houston MSA. Chick-fil-A at Market at Town Center is immediately surrounded by 1,655 apartments, 3 hospitals, 3.0 million square feet of office, 4.2 million square feet of retail with outstanding 3-mile demographics with 89,000 residents, $150,000 average household incomes, and 7.1% projected growth. Chick-fil-A is America’s reigning #1 fast-food chain for four years straight based on customer satisfaction and is the #1 fast-food chain by sales per location at a dominant $4.5 million average. Chick-fil-A at Market at Town Center opened in 1996 and recently executed a long-term renewal from 2017 through 2026 in order to secure 3 more renewal options. Chick-fil-A has an 11.7% rent increase in January 2022 and 11% increases in each option.
- • Corporate ground lease with Chick-fil-A, Inc., as the Tenant on 1.08 acres and no landlord responsibilities.
- • Upcoming 11.7% rent increase in January 2022 and 11% increases in each option.
- • Tenant since 1996 and a history of renewals resulting in 6.6 years of current term remaining.
- • Chick-fil-A executed a long-term renewal from 2017 through 2026 in order to secure 3 more renewal options.
- • In 2016, Chick-fil-A agreed to a 93% rent increase in order to secure their long-term future at this location.
- • This store reported $5.47 million in 2016 sales—well above the already dominant chain average of $4.5 million.
- • Chick-fil-A completely renovated in March 2017 including upgraded food service counters, displays, flooring, seating, and decor.
- • Monthly customer traffic has increased by 25% since Chick-fil-A renovated in 2017 (Placer.ai).
- • Each visit represented $14.80 in 2016 sales, which results in 2019 estimated sales of $6.8 million (Estimated).
- • Today’s estimated sales imply an incredibly healthy and sustainable 2.6% rent-to-sales ratio.