O F F E R I N G M E M O R A N D U M
W IENER S CHNITZEL1 5 0 4 S S A N J A C I N T O A V E N U E | S A N J A C I N T O , C A 9 2 5 8 3
Paul Z. Matysek, [email protected] License # 01757671
Exclusively Marketed By:
INVESTMENT DESCRIPTION
Matysek Investment Group is pleased to present this brand new Fee Simple Wienerschnitzel Sale Leaseback with a 20 Year Absolute NNN lease to a seasoned multi-concept operator. The property has a highly coveted drive through which the Operator estimates to earn 80% of their revenue. 7 cars can fit in the queue. There are no landlord responsibilities with this true "passive" net lease investment. There will be 8% increases every 5 years during the primary term, with six 5-year options to extend. The Operator will personally guarantee the lease with his significant net worth. This seasoned operater has 12 Wienerschnitzels, a Carl’s Jr., and 2 car washes. The store opened Wednesday, January 29th and is already on pace to be another top 30 store, with 21% profit margins equating to north of $250,000 profit annually.
The property sits on a hard signalized corner, and is the most prominent intersection in the trade area with area retailers including Walmart, Rite-Aid, Walgreens, Burger King, Starbucks, and AutoZone. Sonic Burger and 7 Eleven are coming soon just down the street on the same side.
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20 Year Absolute NNN Sale Leaseback; No Landlord Responsibilities
Brand new construction Personal Guarantee by operator, operates 12
locations and growing, significant net worth Operates multiple concepts including Carl’s Jr. and
Express Car Wash Prime corner location at main and main commercial
corridors in the city In close proximity to several national credit retailers
including Stater Brothers, Cardenas, Walmart, Rite-Aid, Walgreens, Burger King, Starbucks, and AutoZone
Future developments just south include a gas station and C-store, car wash, 7 Eleven w/gas, and Sonic Burger
Concrete parking lot – no maintenance required; LED lighting; superior construction
Nearest Wienerschnitzel is ~5 miles away Operator is projecting 21%+ profit margins and to be
another 3rd top 30 store in the franchise Profit estimate on pace to do well above $250,000
annually
INVESTMENT HIGHLIGHTS
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EXECUTIVE SUMMARY
INVESTMENT SUMMARY
Tenant Wienerschnitzel
Property Address 1504 S San Jacinto AveSan Jacinto, CA 92583
Property Type Single Tenant Fast Food
Price $2,514,000
Net Operating Income $132,000
CAP Rate 5.25%
Lease Type NNN
Roof & Structure Tenant Responsible
Lease Guarantor Personal Guarantee
Lease Term Remaining 20 Years
Occupancy 100%
Building Size 1,350 SF
Land Size 12,000 SF
Year Built / Renovated 2020
APN 439-111-015
Zoning LAC2
RENT ROLL
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Tenant SF % of GLARent Lease Dates
Increase Schedule Lease Type Renewal Options
Monthly Annual Start End
Wienerschnitzel 1,350 100% $11,000 $132,000 2/1/2020 1/31/2040 8% every 5 Yrs NNN Six 5-Year Options
*Grand Opening was Wednesday, January 29, 2020
TOTAL 1,350 100% $11,000 $132,000
TENANT OVERVIEW
When our fans are craving a Chili Dog, they think Wienerschnitzel! Founded in 1961 by John Galardi with a single location inSouthern California, Wienerschnitzel has grown to be the world’s largest hot dog chain serving more than 120 million hotdogs a year; and we’re über famous for our delicious secret-recipe chili that we like to smother on fries, hot dogs and burgers.Plus, you can’t forget about our Tastee Freez soft serve treats to round out an epic meal.
Nobody should have to live without Wienerschnitzel, so you’re going to be seeing a lot more of us popping up all over thecountry. But, we’re more than the best chili dogs and corn dogs in the world. We have a responsibility to the people and thecommunities who have supported us for the past 50+ years, and we’re passionate about sharing our successes to help makea difference in the world. We also know that our fans like to have a good time, so we’re partnering with exciting brands andevents in the music, fashion, and sports industries. Keep an eye out for our iconic big red W!
We’re a family-owned company and we’re going to keep it that way. We know that Wienerschnitzel holds a special place inthe hearts of our fans, many who’ve grown up with us, and we’re committed to serving up craveable food at a great value formany generations to come.
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The World’s Largest Hot Dog Chain
with over 50 years of proven success
PARENT COMPANY # OF LOCATIONS YEAR FOUNDED WEBSITEGalardi Group 358 1961 www.wienerschnitzel.com
AREA OVERVIEW
San Jacinto is a city in Riverside County, California. It was named after Saint Hyacinth and is located atthe north end of the San Jacinto Valley, with Hemet to its south and Beaumont, California, to its north.The mountains associated with the valley are the San Jacinto Mountains. The population was 44,199 atthe 2010 census. The city was founded in 1870 and incorporated on April 20, 1888, making it one of theoldest cities in Riverside County.
The city is home to Mt. San Jacinto College, a community college founded in 1965. San Jacinto will alsobe home to the eastern end of the Mid County Parkway, a planned route that would eventually connectit to the city of Perris. In the late 19th century and early 20th century, the city became a home to manydairies, and a center for agriculture.
Riverside County is one of 58 counties in the U.S. state of California. As of the 2010 census, thepopulation was 2,189,641, making it the fourth-most populous county in California and the 11th-mostpopulous in the United States. The name was derived from the city of Riverside, which is the countyseat.
San Jacinto, CA
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TRAFFIC COUNTS CARS PER DAY
S San Jacinto Avenue ~30,000
W Esplanade Avenue ~20,000
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PARCEL MAP
345 W Pearl Ave
DEMOGRAPHICS
1 Mile 3 Miles 5 MilesPopulation
2019 Population 13,569 108,065 162,0182024 Population 14,110 113,393 169,7412010-2019 Annual Rate 0.75% 0.91% 1.00%2019-2024 Annual Rate 0.78% 0.97% 0.94%2019 Male Population 49.2% 48.1% 48.1%2019 Female Population 50.8% 51.9% 51.9%2019 Median Age 31.0 34.8 36.5
Median AgeThe median age in this area is 31.0, compared to U.S. median age of 38.5.
Race and Ethnicity2019 White Alone 52.5% 58.9% 61.4%2019 Black Alone 6.2% 6.4% 6.2%2019 American Indian/Alaska Native Alone 2.1% 1.9% 2.0%2019 Asian Alone 2.0% 2.4% 2.8%2019 Pacific Islander Alone 0.2% 0.3% 0.3%2019 Other Race 30.9% 24.2% 21.2%2019 Two or More Races 6.1% 5.9% 5.9%2019 Hispanic Origin (Any Race) 62.3% 51.1% 46.4%
Mortgage Income2019 Percent of Income for Mortgage 24.5% 24.7% 26.0%
Median Household Income2019 Median Household Income $33,621 $38,042 $41,1252024 Median Household Income $37,918 $44,519 $49,3162019-2024 Annual Rate 2.43% 3.19% 3.70%
Average Household Income2019 Average Household Income $48,886 $54,543 $59,1152024 Average Household Income $57,239 $65,082 $70,7822019-2024 Annual Rate 3.21% 3.60% 3.67%
Data for all businesses in areaTotal Businesses: 489 2,296 3,153Total Employees: 3,156 19,557 28,571Total Residential Population: 13,569 108,065 162,018
CONFIDENTIALITY AGREEMENT& DISCLOSURE
This Offering Memorandum is confidential and is furnished toProspective purchasers of the Property described herein subject to the terms of the Confidentiality Agreement previously provided to and executed by such prospective purchasers. This Memorandum isintended solely to assist prospective purchasers in their evaluation ofthe Property and their consideration of whether to purchase the Property. It is not to be used for any other purpose or made available to any other person without the prior written consent of the Seller ofthe Property.
This Memorandum was prepared on the basis of information available to the Seller and to Matysek Investment Group , the Seller’s exclusive agent in connection with the sale of the Property. This Memorandum Contains pertinent information about the Property and the surrounding area but it does not contain all the information necessary for a complete evaluation of the Property. The projected cash flow andother financial information contained herein are for reference only.
Although the information contained in this Memorandum is believed to be accurate and reliable, neither the Seller nor its agent guarantees its accuracy or completeness. Because of the foregoing and because the Property will be sold on an “as is” basis, prospective purchasersshould make their own independent assessments, investigations, and projections regarding the Property. Although additional material, which may include engineering, environmental or other reports, may
be provided to certain prospective purchasers as appropriate, such parties should confer with their own engineering and environmental experts, counsel, accountants, and other advisors.
The Seller expressly reserves the right, in its sole discretion, to reject any offer to purchase the Property or to terminate any negotiations with any party at any time, with or without notice. The Seller shall have no legal commitment or obligation to any prospective purchaser unless and until a written Purchase and Sale Agreement has been fully executed and delivered and any and all conditions to the Seller’sobligations there under have been fully satisfied or waived.
The Seller is responsible for any commission due Matysek InvestmentGroup in connection with a sale of the Property. The Seller shall not be responsible for any commission claimed by anyother agent or broker in connection with a sale of the Property. No other person, including Matysek Investment Group, is authorized to make any representation agreement on behalf of the Seller. This Memorandum remains the Property of the Seller and Matysek Investment Group and may be used only by parties approved by the Seller and Matysek Investment Group. No portion of this Memorandum may be copied or otherwise reproduced or disclosed toanyone except as provided herein and as permitted by the express terms of the Confidentiality Agreement.
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MATYSEK INVESTMENT GROUP | 1611 S Pacific Coast Hwy, Suite 304 | Redondo Beach, CA 90277 | T 310.405.0902 | F 310.405.0876 | www.matysekinvestment.com
Exclusively Marketed By: Paul Z. Matysek, [email protected] # 01757671
