Actual Site
Sheree Strome, CCIMAssociate Director404.900.5629 [email protected]
Keelee PetersonAssociate Director404.492.9469 [email protected]
Exclusively Listed byNNN Burger King Sevierville, TNOffering Memorandum
Asset Summary
Net Operating Income (NOI) $96,000
Rent/Month $8,000
Rent/SF $29.26
Rentable Square Feet 3,280+/- SF
Land Area 0.95+/- Acres
Tenant Name Burger King
Guarantor Tennessee Quality
Ownership Type Fee Simple
Lease Type NNN
Landlord Responsibilities None
Store Opened 1984
Store Remodeled 2012
Lease Term Remaining 14 Years
Increases 5% Every 5 Years
Rent Commencement July 1, 2017
Lease Expiration 2032
Options Four (4), Five (5) Year
Rent ScheduleTerm Increases Annual Rent Monthly RentYears -
Years %
Years %
Years (Option 1) %
Years (Option 2) %
Years (Option 3) %
Years (Option 4) %
Investment Highlights
• Downtown location
• Over 29,530 vehicles per day
• Updated to new Burger King branding August 2012
• Gatlinburg MSA
Rent ScheduleTerm Increases Annual Rent Monthly Rent
Years 1-5 - $96,000 $8,000
Years 6-10 5% $100,800 $8,400
Years 11-15 5% $105,840 $8,820
Asking Price$1,669,565
Cap Rate 5.75%
412 Forks Of The River PkwySevierville, TN 3786
Calkain Companies | 2
Financial Summary
Site Photos
Calkain Companies | 3
About Burger KingBurger King is the second largest fast food hamburger chain in the world, trailing only McDonald’s. For a non-investment grade net lease tenant, Burger King is a solid net lease investment, providing stability in an uncertain market.
Burger King has been in business for 50 years and owns or franchises a total of 15,738 Burger King restaurants in approximately 100 countries and US territories worldwide. Of these restaurants, 15,667 are franchised, approximately 99.5 %, and 71 are company-owned.
In 2014, Restaurant Brands International Inc. formed to serve as the indirect parent of Tim Hortons and its consolidated subsidiaries, and Burger King Worldwide and its consolidated subsidiaries. Since 2010, the Burger King brand has increased annual net restaurant growth by approximately four times, from adding 173 new units in 2010, to 631 new restaurants in 2015. This growth has
made Burger King one of the fastest growing QSRs in the world. Burger King has implemented a modernization plan, and will offer incentives to franchisees who remodel their stores in the new modern format.
About Nashville Quality LLCNashville Quality, LLC is a subsidiary of Cambridge Franchise Holdings which operates 150 Burger King locations across North Carolina, Virginia, Tennessee, Alabama, Indiana, Kentucky, Mississippi, Missouri and Louisiana. Founded by Ray Meeks, this is one of fastest growing and most profitable Burger King Franchisees in the Burger King system. There are currently 63 locations under the Nashville Quality LLC and this subsidiary in continuing to grow. For more information, please visit: www.garnettstation.com.
# of Locations
15,738
Stock Symbol
NYSE: QSR
Credit Rating
S&P: B+
2017 Revenue
$1.23Bil
Market Cap
$12.49Bil
Tenant Snapshot
Calkain Companies | 4
Tenant Overview
81
Louisville, KY
Nashville, TN
Charlotte, NCChattanooga, TN
75
Subject Site
Subject SiteKnoxville, TN
Sevierville, TN
Sevierville, TN
75
Calkain Companies | 5
Location Overview
Distance To
Knoxville, TN 29 miles
Chattanooga, TN 139 miles
Charlotte, NC 206 miles
Nashville, TN 208 miles
Louisville, KY 273 miles
Subject Site
Forks Of The River Pkwy 29,530 VPD
Park
way
38,
530
VPD
E Main St 27,220 VPD
Landmark Inn
Riverview Inn
River Place Motel
Sevier County Special Education
School
Sevierville Parks &
Recreation
King Family Library
Sevier County
Jail
Smoky Mountain Children’s Home
Sevierville Middle School
Rick’s Service Center
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412 Forks Of The River Pkwy | Sevierville, TN
Subject Site
Forks Of The River Pkwy 29,530 VPD
Prince Street
Court Avet
Landmark Inn
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412 Forks Of The River Pkwy | Sevierville, TN
1 Mile 3 Miles 5 MilesPopulation2017 Population 4,720 15,856 29,646
2022 Population 4,908 16,680 31,386
2017 Median Age 37.0 39.0 39.5
Households2017 Total Households 1,932 6,373 11,687
2022 Total Households 2,021 6,704 12,357
Median Household Income2017 Median HH Income $32,576 $35,383 $37,985
2022 Median HH Income $35,197 $37,605 $40,636
Average Household Income2017 Average HH Income $47,978 $51,813 $55,044
2022 Average HH Income $55,935 $60,848 $64,657
Population 29,626
Median Age 39.5
Avg HH Income $55,044
5 Mile Radius | Demographics
Location Overview, 1/3/5 Miles
Calkain Companies | 8
Sevierville, TN
Located off of exit 407 of Interstate
40, Sevier County, TN is comprised of
the three most popular cities in the
state – Pigeon Forge, Gatlinburg, and
Sevierville. Over 12 million visitors
choose Sevier County each year to
enjoy great shopping, world-class theme parks, theaters and live entertainment,
local festivals and events. Another big draw is the amount of awesome lodging
choices – particularly cabins. While many may think of cabins as being really rustic,
Sevier County Tennessee cabins are more like log homes – far from roughing it.
Smoky Mountain cabin rentals very popular. You’ll find over 7,000 to choose from
in Sevier County alone.
Sevierville is a city in east Tennessee. To the south, Great Smoky Mountains
National Park has forest trails and waterfalls. A statue of country singer Dolly
Parton, a Sevierville native, is downtown by the 1896 beaux arts–style courthouse.
The Tennessee Museum of Aviation has vintage aircraft, including 2 rare P-47
Thunderbolts. To the east, the Forbidden Caverns are vast underground caves
with calcite formations.
Several major state and federal highways intersect in Sevierville. U.S. Route 441,
commonly called “The Parkway,” connects Sevierville with Knoxville to the north
and the national park and Cherokee, North Carolina to the south. The Sevierville
section of U.S. 441 has been named “Forks-of-the-River Parkway.” State Route
66, also called Winfield Dunn Parkway, connects Sevierville with Interstate 40
to the north. U.S. Route 411 traverses Sevierville from east to west, connecting
Sevierville with Blount and Cocke counties. State Route 416 connects Sevierville
with Pittman Center and U.S. Route 321 at the park boundary to the southeast.
Facts:
• Approximately 12 million people visit Sevier County TN each year
• Approximately 10 million people visit Pigeon Forge each year
• The great Smokey Mountains National Park is the most visited National Park in the country
• Since its establishment in 1795, the County seat has been situated at Sevierville (Also named Sevior), the eight oldest city in Tennessee
• In 1986, Dolly Parton opened Dollywood
Calkain Companies | 9
Market Overview
About UsCalkain Companies LLC is a boutique commercial real estate investment banking firm that provides consulting and brokerage services to both private and institutional clientele with a focus on single tenant net lease investments. It prides itself on being an innovative leader by providing its clients a full array of commercial real estate investment brokerage and asset management solutions, including advisory, research, debt and equity placement and wealth management.
Calkain has built solid, lasting relationships that have been the cornerstone of how they do business. Calkain approaches each assignment with an eye toward each client’s individual needs. Whether private or institutional investors, Calkain delivers real estate solutions that maximize value while building wealth for all of its clients.
At Calkain, their foresight and innovation are leading the net lease investment industry.
Building a solid foundation for your investment portfolio
calkain.com
Disclaimer: The information contained in this document is proprietary and strictly confidential. It is intended to be reviewed only by the party receiving it from Calkain and its subsidiaries, and should not be made available to any other person or entity without the written consent of Calkain. This document has been prepared to provide summary, unverified information to prospective purchasers, and to establish only a preliminary level of interest in the subject property(s). The information contained herein is not a substitute for a thorough due diligence investigation. Calkain and its subsidiaries have not made any investigation, and make no warranty or representation, with respect to the income or expenses for the subject property(s), the future projected financial performance of the property, the size and square footage of the property(s) and improvements, the presence or absence of contaminating substances, PCB’s or asbestos, the compliance with State and Federal regulations, the physical condition of the improvements thereon, or the financial condition or business prospects of any tenant, or any tenant’s plans or intentions to continue its occupancy of the subject property(s). The information contained in this document has been obtained from sources we believe to be reliable; however neither Calkain and its subsidiaries nor the Seller have verified, and will not verify, any of the information contained herein, nor has Calkain and its subsidiaries or the Seller conducted any investigation regarding these matters and make no warranty or representation whatsoever regarding the accuracy or completeness of the information provided. All potential buyers must take appropriate measures to verify all of the information set forth herein.
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