Cap Rate: 5.04%
Size: 1,900 SF
Lot Size: 0.75 Acres
Marcus & Millichap is pleased to offer the opportunity to acquire Starbucks (“Property”) in the heart of the city of Stafford (Houston MSA), Texas. This rare double net lease opportunity is backed by a corporate guarantee and designates both roof and HVAC responsibility to the tenant. Recently constructed along Highway 90 in 2016, the Property benefits from its premium location in Houston’s sought-after southwest region and is set to serve the 46,000+ cars passing by the property each day.
The city of Stafford is unique in that it is the largest city in Texas to collect zero city property taxes. This pro-business mindset has attracted not only burgeoning startup enterprises, but also Stafford’s newest major development, The Grid. Costing over $500-million, this mixed-use development spans across 192 acres including 350,000 square feet of retail, restaurants and entertainment, as well as 500,000 square feet of creative focused office space, multiple hotels, pop-up shops, food hall, and over 2,400 apartments.
Demographics in the area are strong with the average household income over $101,000 in a three mile radius. Additionally, the immediate area surrounding the property touts prominent retailers such as McDonald’s, Frost Bank, Jimmy John’s, Marco’s Pizza, Dairy Queen, AutoZone, O’Reilly Auto Parts, Popeyes, and many others.
Starbucks has approximately six years remaining on the primary term of its corporate double net lease, and there is a rent increase occurring in 2021 that provide the unique opportunity for an investor to realize near-term upside.
- 1,900 Square Foot Building | 0.75 Acre Hard Corner Parcel
- Tenant Responsible for Roof | 2016 Construction
- Major Retailers Adjacent to Property | 46,000+ Vehicles Per Day
- National Tenant with Corporate Guarantee | Close Proximity to The Grid
- Structured Rent Increase in 2021 | +/- 6 Years Remaining on Primary Term