Net Lease Investment Services
File Photograph
Whataburger Ground Lease
AFFLUENT AREA OF DALLAS
• Price: $1,500,000 - 5.50% Cap Rate
• In New Wal-Mart Super Center
• Corporate Guarantee
•
New 15-Year NNN Ground Lease with 10% Increases
• Only $26/SF
201 California Street, Suite 800 | San Francisco, CA 94111 | tel 415.781.8100 | fax 415.956.3381 | www.ctbtnnn.com | Cassidy Turley Northern California | Lic #00825241
The information set forth herein has been received by us from sources we believe to be reliable.
We do not warrant its accuracy or completeness.
Net Lease Investment Services
Dallas, Texas
Whataburger
LOCATION
15255 Montfort Drive, Dallas, Texas. On the north side of Dallas, near the
intersection of Dallas North Tollway and Belt Line Road.
LOT SIZE
Approximately 1.0372 acre – 45,180+/– square feet
•
IMPROVEMENTS
To be completed March 2012, an 3,218+/- square foot free standing
WHATABURGER restaurant with drive-thru.
•
LEASE
ANNUAL INCOME
Only the land is for sale.
The improvements are owned by the tenant. The improvements are not for
sale.
Leased to WHATABURGER RESTAURANTS, LP for 15 years from March 2012 until
March 2027. The annual rent of $82,500 increases by 10% every five years during
the primary term. The lease is absolute net, with the tenant responsible for taxes,
insurance and all maintenance, including roof and structure. There are six 5-year
options to renew under the same terms and conditions as the primary lease.
YEARS
1-5
6-10
11-15
16-20 (Option
21-25 (Option
26-30 (Option
31-35 (Option
36-40 (Option
41-45 (Option
1)
2)
3)
4)
5)
6)
ANNUAL RENT
$ 82,500
$ 90,750
$ 99,825
$109,808
$120,789
$132,868
$146,155
$160,770
$176,847
RETURN
5.50%
6.05%
6.66%
7.32%
8.05%
8.86%
9.74%
10.72%
11.79%
PRICE
$1,500,000 – 5.50% Cap Rate
PRICE PER SQUARE FOOT
$33.20 - Land Only
FINANCING
The property will be delivered free and clear of permanent financing.
201 California Street, Suite 800 | San Francisco, CA 94111 | tel 415.781.8100 | fax 415.956.3381 | www.ctbtnnn.com | Cassidy Turley Northern California | Lic #00825241
The information set forth herein has been received by us from sources we believe to be reliable.
We do not warrant its accuracy or completeness.
RCS:dkw:0911:15
Net Lease Investment Services
Dallas, Texas
Whataburger
ABOUT THE TENANT
WHATABURGER RESTAURANTS, LP is a privately held, regional fast food
hamburger chain with more than 700 outlets in Texas and 9 other states. The
restaurants are typically open 24 hours a day and serve burgers and fries along with
chicken sandwiches, salads, and a breakfast menu. Nearly 700 of the restaurants
are company-owned. The chain, established by Harmon Dobson, opened its first
restaurant in Corpus Christi, Texas in 1950. Still owned by the Dobson family, it
has $1+ billion in annual sales. The corporate headquarters moved to San Antonio
in 2009 primarily to provide the headquarters staff better airplane connections to
the multi-state locations now operated.
Whataburger is a partnership, the partners being members of the Dobson family.
Mature Whataburger stores, chain-wide, average about $1.6 million in sales. If the
subject store (not yet open) achieves that level, rent-as-a percent-of sales would
be only about 5%, a quite low percentage, and thus attractive to the tenant and a
prospective landlord.
The specialized niche of Whataburger is made-to-order, cooked-to-order, hamburgers
and cheeseburgers. It does not directly compete with McDonald’s or Burger King,
which serve pre-cooked burgers from a warmer with standard condiments at a
cheaper price. A quite comparable and also successful chain, headquartered in
California, is “In-N-Out Burger.” Those two chains do not seem to want to invade
the other’s territory, with the exception of head-to-head competition in Arizona.
It is said by many that Whataburger enjoys a “cult” following, especially in Texas.
Certain financial information can be verbally disclosed by the broker, call to discuss.
201 California Street, Suite 800 | San Francisco, CA 94111 | tel 415.781.8100 | fax 415.956.3381 | www.ctbtnnn.com | Cassidy Turley Northern California | Lic #00825241
The information set forth herein has been received by us from sources we believe to be reliable.
We do not warrant its accuracy or completeness.
RCS:dkw:0911:15
Net Lease Investment Services
Dallas, Texas
Whataburger
SITE INFORMATION
Whataburger is on a pad site located across the street from the 62-acre retail
center, Prestonwood Town Center. Retailers in the center include Wal-Mart Super
Center, Best Buy, Office Depot, Michael’s, PetCo, ULTA, DSW, and others.
That center is new within the last five years. The former use, a two-story enclosed
mall, was torn down.
Whataburger is just off Beltline Road, one-half mile east of the Dallas North
Tollway, about 9 miles north of the central business district of Dallas. The location
offers easy access to LBJ Highway (Hwy. 635) and the Dallas North Tollway, and
several retail centers and office buildings. The daytime population within five miles
is 481,000.
Other nearby tenants include Walgreens, Steak n’ Shake, Outback Steakhouse,
BJ’s Restaurant & Brewhouse, TGI Friday’s, Subway, Sonic, Panda Express, Sweet
Tomatoes, Chick-fil-A, Panera Bread, Buffalo Wild Wings Grill & Bar, Wells Fargo,
Chase Bank, Capital One Bank, CVS, Stein Mart, RadioShack, Hobby Lobby and TJ
Maxx, to name a few. Nearby lodging include Hawthorn Suites, Hyatt Summerfiled,
SpringHill Suites, Courtyard Marriott, Comfort Inn, La Quinta Inn & Suites,
Hampton Inn, Homewood Suites and Holiday Inn.
201 California Street, Suite 800 | San Francisco, CA 94111 | tel 415.781.8100 | fax 415.956.3381 | www.ctbtnnn.com | Cassidy Turley Northern California | Lic #00825241
The information set forth herein has been received by us from sources we believe to be reliable.
We do not warrant its accuracy or completeness.
RCS:dkw:0911:15
Net Lease Investment Services
Dallas, Texas
Whataburger
ABOUT THE AREA
Dallas is home to 10 Fortune 500 companies, including household names such as
Halliburton, Southwest Airlines, and Texas Instruments. Dallas was ranked fifth on
the list of cities with the most Fortune 500 headquarters.
Dallas is the third-largest city in Texas and the ninth-largest in the United States.
The Dallas-Fort Worth Metroplex is the largest metropolitan area in the South
and fourth-largest metropolitan area in the United States. The city had a 2010
population of approximately 1.2 million, according to the United States Census
Bureau.
The city is the largest economic center of the 12-county Dallas–Fort Worth
metropolitan area, which had a population of roughly 6.5 million as of July 2009.
Economy
The city’s economy is primarily based on banking, commerce, telecommunications,
computer technology, energy, and transportation, and the city is home to the third
largest concentration of Fortune 500 companies in the nation.
The city has a high concentration of telecommunications companies in the region,
along the Telecom Corridor. The Corridor has operations/offices of more than 5,700
companies including Texas Instruments, Nortel Networks, Alcatel Lucent, AT&T,
Ericsson, Fujitsu, Nokia, Rockwell Collins, Cisco Systems, Sprint and Verizon
Communications.
Texas Instruments employs 10,400 people at its corporate headquarters and chip
plants in Dallas. Defense and aircraft manufacturing dominates the economy of
nearby Fort Worth.
The Dallas-Fort Worth Metroplex has one of the largest concentrations of corporate
headquarters for publicly traded companies in the United States. Dallas has 10
Fortune 500 companies, and the DFW region as a whole has 20. In 2007–08,
Comerica Bank and AT&T relocated their headquarters to Dallas. Irving is home
to four Fortune 500 companies, including ExxonMobil, Kimberly-Clark, Fluor
(engineering), and Commercial Metals. Additional companies headquartered in
the Metroplex include Southwest Airlines, American Airlines, RadioShack, Neiman
Marcus, 7-Eleven, Brinker International, AMS Pictures, id Software, ENSCO
Offshore Drilling, Mary Kay Cosmetics, Chuck E. Cheese’s, Zales and Fossil.
Corporate headquarters in the northern suburb of Plano include HP Enterprise
Services, Frito Lay, Dr Pepper Snapple Group, and JCPenney.
201 California Street, Suite 800 | San Francisco, CA 94111 | tel 415.781.8100 | fax 415.956.3381 | www.ctbtnnn.com | Cassidy Turley Northern California | Lic #00825241
The information set forth herein has been received by us from sources we believe to be reliable.
We do not warrant its accuracy or completeness.
RCS:dkw:0911:15
Net Lease Investment Services
Dallas, Texas
Whataburger
ABOUT THE AREA
(CONTINUED)
Education
Dallas is a major center of education for much of the south central United States.
The Dallas area contains a number of universities, colleges, trade schools, and other
educational institutions.
The University of Texas Southwestern Medical School is located within the city. It
is one of the largest grouping of medical facilities in the world. The facility enrolls
4,400 students, including post-graduates.
Air Transportation
Dallas is served by two commercial airports: Dallas/Fort Worth International Airport
(DFW) and Dallas Love Field (DAL).
DFW International Airport is the largest airport in the state, the 4th largest in
the United States, and 6th largest in the world. With an estimated 57 million
passengers a year, DFW is hub to American Airlines and is served by a host of major
domestic and foreign airlines offering flights to all points of the globe. It is midway
between Dallas and Fort Worth.
Love Field (DAL) is located about 6 miles northwest of downtown, and is
headquarters to Southwest Airlines which provides most of the service. Continental
Express and American Eagle also provide jet service from the airport. Direct flights
are offered to many regional destinations.
DEMOGRAPHICS
2009 ESTIMATE
1-MILE
3-MILE
5-MILE
Population
19,433
118,988
358,251
$73,991
$98,469
$94,196
Average HH Income
NOTE
The information set forth herein has been received by us from sources we believe
to be reliable, but we have made no independent investigation of the accuracy or
completeness of the information and make no representations with respect thereto.
The above is submitted subject to errors, prior sale or lease, change in status, or
withdrawal without notice.
TEXAS
201 California Street, Suite 800 | San Francisco, CA 94111 | tel 415.781.8100 | fax 415.956.3381 | www.ctbtnnn.com | Cassidy Turley Northern California | Lic #00825241
The information set forth herein has been received by us from sources we believe to be reliable.
We do not warrant its accuracy or completeness.
RCS:dkw:0911:15
Net Lease Investment Services
Whataburger
Dallas, Texas
Ad
ADDISON AIRPORT
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A
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Knoll Trail Drive
Dallas Parkw
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AERIAL
PRESTONWOOD
COUNTRY CLUB
SUBJECT
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Belt Line Road
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Dallas
North
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ADDISON CIRCLE
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Belt Line Road
201 California Street, Suite 800 | San Francisco, CA 94111 | tel 415.781.8100 | fax 415.956.3381 | www.ctbtnnn.com | Cassidy Turley Northern California | Lic #00825241
The information set forth herein has been received by us from sources we believe to be reliable. We do not warrant its accuracy or completeness.
Net Lease Investment Services
Whataburger
Dallas, Texas
MAP
SUBJECT
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0.4
0.6
0.8
1
1.2
201 California Street, Suite 800 | San Francisco, CA 94111 | tel 415.781.8100 | fax 415.956.3381 | www.ctbtnnn.com | Cassidy Turley Northern California | Lic #00825241
The information set forth herein has been received by us from sources we believe to be reliable. We do not warrant its accuracy or completeness.
1.4
Net Lease Investment Services
Whataburger
Dallas, Texas
MAP
SUBJECT
0 mi
5
10
15
201 California Street, Suite 800 | San Francisco, CA 94111 | tel 415.781.8100 | fax 415.956.3381 | www.ctbtnnn.com | Cassidy Turley Northern California | Lic #00825241
The information set forth herein has been received by us from sources we believe to be reliable. We do not warrant its accuracy or completeness.
20
Net Lease Investment Services
Whataburger
Dallas, Texas
MAP
SUBJECT
0 mi
20
40
201 California Street, Suite 800 | San Francisco, CA 94111 | tel 415.781.8100 | fax 415.956.3381 | www.ctbtnnn.com | Cassidy Turley Northern California | Lic #00825241
The information set forth herein has been received by us from sources we believe to be reliable. We do not warrant its accuracy or completeness.
60
Net Lease Investment Services
Dallas, Texas
Whataburger
Coordinates Longitude:
-96.818520
Latitude:
32.954140
1.0 Mile
Ring
3.14 sq/mi
3.0 Mile
Ring
28.27 sq/mi
5.0 Mile
Ring
78.54 sq/mi
POPULATION
1990 Total Population
2000 Total Population
2009 Total Population
2014 Total Population
% Population Change 1990-2000
% Population Change 2000-2009
% Population Change 2009-2014
12,380
18,778
19,433
20,638
51.68%
3.49%
6.20%
92,431
112,224
118,988
126,720
21.41%
6.03%
6.50%
270,734
339,571
358,251
375,245
25.43%
5.50%
4.74%
HOUSEHOLDS
1990 Total Households
2000 Total Households
2009 Total Households
2014 Total Households
% Households Change 1990-2000
% Households Change 2000-2009
% Households Change 2009-2014
7,965
12,031
12,586
13,517
51.05%
4.61%
7.40%
43,215
53,793
57,879
62,448
24.48%
7.60%
7.89%
118,721
148,905
160,141
170,025
25.42%
7.55%
6.17%
2009 RACE
% 2009 White Population
% 2009 Black Population
% 2009 American Indian/Alaska Native
% 2009 Asian/Hawaiian/Pacific Islander
% 2009 Other Population (Incl 2+ Races)
69.29%
10.75%
0.53%
8.50%
10.92%
71.25%
8.39%
0.53%
7.81%
12.02%
69.15%
8.61%
0.57%
8.74%
12.93%
% 2009 Hispanic Population
% 2009 Non-Hispanic Population
21.55%
78.45%
24.48%
75.52%
27.71%
72.29%
Updated Summary Report (%)
September 14, 2011
201 California Street, Suite 800 | San Francisco, CA 94111 | tel 415.781.8100 | fax 415.956.3381 | www.ctbtnnn.com | Cassidy Turley Northern California | Lic #00825241
The information set forth herein has been received by us from sources we believe to be reliable.
We do not warrant its accuracy or completeness.
RCS:dkw:0911:15
Net Lease Investment Services
Dallas, Texas
Whataburger
Coordinates Longitude:
-96.818520
Latitude:
32.954140
1.0 Mile
Ring
3.14 sq/mi
3.0 Mile
Ring
28.27 sq/mi
5.0 Mile
Ring
78.54 sq/mi
INCOME
2009 Per Capita Income
2009 Median Household Income
2009 Average Household Income
$47,921
$47,565
$73,991
$47,898
$57,013
$98,469
$42,106
$57,492
$94,196
% 2009 Household Income < $10,000
% 2009 Household Income $10,000-$14,999
% 2009 Household Income $15,000-$19,999
% 2009 Household Income $20,000-$24,999
% 2009 Household Income $25,000-$29,999
% 2009 Household Income $30,000-$34,999
% 2009 Household Income $35,000-$39,999
% 2009 Household Income $40,000-$44,999
% 2009 Household Income $45,000-$49,999
% 2009 Household Income $50,000-$59,999
% 2009 Household Income $60,000-$74,999
% 2009 Household Income $75,000-$99,999
% 2009 Household Income $100,000-$124,999
% 2009 Household Income $125,000-$149,999
% 2009 Household Income $150,000-$199,999
% 2009 Household Income $200,000-$249,999
% 2009 Household Income $250,000-$499,999
% 2009 Household Income $500,000+
2.32%
2.96%
2.35%
3.90%
4.88%
6.82%
7.87%
13.51%
10.51%
16.46%
14.43%
6.45%
3.11%
1.29%
1.57%
0.15%
1.40%
0.02%
2.62%
2.75%
3.06%
4.35%
5.07%
5.50%
5.37%
7.14%
6.19%
11.34%
13.69%
11.73%
6.33%
4.47%
4.76%
2.28%
3.22%
0.14%
2.79%
3.01%
3.53%
4.50%
4.65%
5.43%
5.39%
6.22%
6.06%
11.24%
13.38%
14.39%
6.52%
4.43%
3.61%
1.86%
2.84%
0.15%
2009 Average Household Size
% 2009 Total Owner Occupied Housing Units
% 2009 Total Renter Occupied Housing Units
1.6
14.81%
85.19%
2.0
41.81%
58.19%
2.2
45.98%
54.02%
44,898
39,779
3,642
218,213
170,722
16,523
480,923
327,142
33,142
Updated Summary Report (%)
September 14, 2011
2009 Total Daytime Population
2009 Total Daytime Work Population
2009 Total Establishments
201 California Street, Suite 800 | San Francisco, CA 94111 | tel 415.781.8100 | fax 415.956.3381 | www.ctbtnnn.com | Cassidy Turley Northern California | Lic #00825241
The information set forth herein has been received by us from sources we believe to be reliable.
We do not warrant its accuracy or completeness.
RCS:dkw:0911:15