Caribou Coffee - Savage, MN_Property for Sale
Caribou Coffee - Savage, MN_Property for Sale
4905 Highway 13 W, Savage, MN, 55378-1347, US

Caribou Coffee - Savage, MN

Asset Description

Jones Lang LaSalle Americas, Inc. (“JLL”), is pleased to exclusively offer for sale the fee-simple interest in Caribou Coffee (the “Property”) located at 4905 Highway 13 W in Savage, Minnesota. This single tenant net lease asset is 100% leased to Caribou Coffee corporate and also has additional income from an on-site Chase Bank ATM. The 554 SF build-to-suit building was fully renovated in 2022 and sits on 0.54 acres of land. Caribou Coffee has just over 8 years remaining on their lease, which features 10% rent escalations every five years through their options, including one such escalation in July 2027.


Caribou Coffee is the dominant coffee chain in MN, with more locations in the state that Starbucks and Dunkin' Donuts combined. With over 770 locations across the globe, Caribou Coffee is quickly increasing their share of the coffee market. Caribou Coffee is part of a portfolio of complementary brands bound by common values, Panera Brands, comprised of Panera Bread, Caribou Coffee, and Bagel Brands. JP Morgan Chase Bank (NYSE:JPM), operating under the brand name Chase Bank, is a global financial institution that offers a wide range of banking and financial services. With $149 billion in revenue in 2023 and an investment-grade credit rating, Chase adds an additional strong credit base to the investment.


The property sits on MN-13 and is highly visible from the roadway and the signalized intersection of MN-13 and Quentin Ave. MN-13 carries 54,000 VPD in the area and is the primary east-west thoroughfare serving the city of Savage. The investment benefits from a strong consumer base in the surrounding area. Within a three-mile radius, the average household income is $127,000, 18% higher than the national average. The property is located within the Minneapolis-Saint Paul metro, also known as the Twin Cities, just 30 minutes from downtown Minneapolis. With nearly 3.8 million people and growing, the Twin Cities metro is the 16th largest MSA in the United States. In addition to its strong population base, the Twin Cities also has the most Fortune 500 HQs per capita and has one of the lowest cost of living indexes among major metros.


Please see OM for more information.

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Attributes

Asking price
MYR 6,961,000
Cap rate
7%
Building area gross
56 m²
Land area gross
0.22 ha
Occupancy
100%
WAULT
8.2 years
Year renovated
2022

Media

Investment Highlights

8+ YEARS OF TERM ON NNN LEASE WITH 10% BUMPS AND ADDITIONAL INCOME FROM CHASE BANK ATM

• Caribou Coffee has just over 8 years remaining on their original 10-year lease, which features 10% rent escalations every five years, including one such escalation in July 2027

• The investment also includes a Chase Bank ATM that has just over 3 years remaining on the original 5-year lease, which also features 10% rent escalations through the option periods


MARKET DOMINANT COFFEE CHAIN

• Caribou Coffee is the market-dominant coffee chain in Minnesota, with more locations than Starbucks and Dunkin' Donuts combined

• Caribou Coffee is a subsidiary of Panera Brands, which includes other well-known, successful companies such as Panera Bread and Einstein Bros. Bagels


AFFLUENT DEMOGRAPHICS WITH ROOM TO GROW

• Within a three-mile radius, the average household income is $127,000, 18% higher than the national average

• Within a one, three, and five mile radius, both median and average household income are projected to grow steadily over the next five years


HIGHLY VISIBLE FROM HIGH-TRAFFIC ARTERIAL ROADWAY

• The property benefits from a clear, unobstructed view from MN-13, named Sioux Trail in the area

• MN-13 carries approximately 54,000 vehicles per day in the area

Caribou Coffee - Savage, MN 4_Property for Sale
Caribou Coffee - Savage, MN 4_Property for Sale

Contact brokers

Caribou Coffee - Savage, MN (0 Properties)

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Last updated
17 May 2024