Kentucky Fried Chicken – Globally Recognized Tenant – Kentucky Fried Chicken (“KFC”), is the world’s most popular chicken restaurant chain with over 20,500 KFC outlets in more than 125 countries and territories around the world. Headquartered in Louisville, Kentucky, KFC is owned by Yum! Brands, Inc., which also owns Pizza Hut and Taco Bell and reported a company revenue of $5.8 billion in 2017.
Strong Lease Guaranty from 82-Unit Operator Argonaut Food Partners LLC – The lease comes with a strong guaranty from Argonaut Food Partners, LLC (“AFP”). AFP operates 82 restaurants in 12 U.S. States and boasts a successful 24-year operating history with KFC’s parent company YUM Brands. They are a preferred growth partner with Kentucky Fried Chicken and have been named the #1 operator by KFC Corporate the past 4 years (see page 16).
Full Exterior/Interior Building Remodel Planned for Late 2019 – Strong Unit Level Sales – The operator is planning an extensive exterior and interior building remodel to reflect the most current Kentucky Fried Chicken Corporate brand specification. A building remodel typically provides that location with a 10% spike in unit level sales. The remodel is scheduled to be completed prior to the start of 2020. Current gross sales at this location are strong and trending upward (sales figures available by request).
Long Term Absolute NNN Lease – 8% Rent Increases Every 5 Years Including Options – The original 20-year lease has 18 years remaining and features 8% rent increases every 5 years in the Primary term as well as throughout the (4) 5 year Option Periods. In addition, the absolute triple-net (NNN) lease provides an investor with zero landlord responsibilities.
Excellent Visibility & Signage Along White Mountain Rd/SR 260 – Strong Retail Synergy With Nearby Retailers – The subject property is located along White Mountain Rd/SR 260, which is the main corridor carrying travelers/commuters through Show Low to the White Mountains and beyond to Phoenix and Flagstaff and offers excellent visibility & signage to 19,000 cars per day. The subject property has excellent retail synergy with neighboring retailers including McDonald’s, Pizza Factory, Chase Bank, Cattlemen’s Steakhouse, White Mountain Donuts, Domino’s Pizza, Little Caesar’s, Jiffy Lube and more.
Located in Show Low, One of Fastest Growing Cities in Northern Arizona – Gateway to White Mountains & Apache/Sitgreaves National Forest – The subject property is located in the town of Show Low, which is the largest city in the White Mountains of northeastern Arizona and one of the fastest growing cities in northern Arizona. Show Low is the business hub and marketing center of the area, and is recognized for its abundant water supply, dynamic workforce, competitive power rates and modern telecommunications infrastructure. Additionally, Show Low is the gateway to Arizona’s White Mountains, the Apache/Sitgreaves National Forest, and the Fort Apache Reservation. The area offers hiking and biking and is world famous for its world class hunting and fishing opportunities. Ski buffs trek to Arizona’s premier skiing destination, Sunrise Park Resort, located just 36 miles from town.