Free Standing denny s restaurant on ±1.3 Acres of land $5,800,000 ABSOLUTE NET

Transcription

1 For Sale Free Standing denny s restaurant on ±1.3 Acres of land $5,800,000 ABSOLUTE NET 2077 N 1st Street, San Jose, CA Exclusive Agent: JOHN B. MACHADO EXECUTIVE VICE PRESIDENT DIRECT: CELL: john.machado@colliers.com CA License No COLLIERS INTERNATIONAL Silicon Valley 450 West Santa Clara Street San Jose, CA

2 bay area maps SUBJECT SUBJECT 2

3 GUADALUPE FWY 87 BAYSHORE FWY 101 SUBJECT NEW BROKAW ROAD N FIRST STREET 3

4 property information Address 2077 N. First Street, San Jose CA Intersection Signalized Intersection: N. First Street at Brokaw Road Access Curb cut s on N. First Street and Brokaw Road Property dimensions Irregation shape parcel Approx 130 frontage on N. First Street Approx 20 frontage on Brokaw Road (See parcel map) APN # Parcel size ± 1.3 acres + ±56,628 square feet Current improvements The site is improvments with an approximate 5,000 SF single story free standing restaurant building that was constructed in approximately 1977 for Denny s Restaurant Group. 4

5 Neighboring area Neighboring area The Subject Property is located at N. First Street and Brokaw Road in San Jose, CA The Subject Property benefits from excellent access via Highway 101, N. First Street and Guadalupe Expressway Brand new Hyatt Park Hotel is uder construction adjacent to the north of the property demographic highlights 3 Mile 5 Mile Population 188, ,492 Average Income $133,572 $120,611 Traffic Counts N. First Street 54,000 + ADT Brokaw Road 29,700 + ADT 5

6 BRAND PROFILE DENNY S CORPORATION Denny s Corporation through it s subsidiary Denny s Inc., owns and operates full-service restaurant chains under the Denny s brand. As of December 27, 2017, it has 1,735 franchised, licensed, and company restaurants worldwide, including 128 restaurants in Canada, Puerto Rico, Mexico, New Zealand, Hounders, the Phillip pines, COsta Rica, Dominican Republic, the United Aram Emirates, Guam, Curacao, El Salvador, Guatemala, and the United Kingdom. The company formerly known as Advanitca Restaurant Group, Inc. and changed it s name to Denny s Corporation in The Company was founded in 1953 and is based in Spartanburg, South Carolina. Company Type Public (NASDAQ: DENN) 2017 Employees 8, Revenue $ Million 2017 Net Income $39.59 Million 2017 Assets $ Million Ranking Russell 2000 (June 2017) 6

7 offering the subject property is offered for sale at $5,800,000 Lease status SUMMARY Parass Restaurant Group Inc. dba Denny s, signed a 10 year extension to their Lease Agreement that extends their term to January 31, Base Rent Monthly to $17, to $18, In addition to Base Rent, Tenant pays all operating expenses that include but are not limited to: 1) Real Property Taxes 2) Insurance 3) Building & Site Maintenance Note: In addition to the corporate signature of Parass Restaurant Group Inc. there is a personal guarantee from Sunita Singh and Mohinder Singh (Franchisee). Note: The Lease provides Lessor with a Right to Terminate the Lease prior to January 31, 2029 in the event of a redevelopment of the property. Pricing Current Annual Income: $210, Annual Income as of February 1, 2024: $222, Average Annual Income over 10-year Lease Term: $216, CAP Rate 1) Current Income 3.6% 2) Income % Note: The opportunity here is the redevelopment of the property in the future. A potential buyer could entitle this property for a higher and better use and then exercise its right to early termination. This option provides cash flow during the entitlement process. 7

8 parcel map SUBJECT 8

9 Retail competition map Mineta/San Jose International Airport NEW Light Rail Stop Airport Parkway Matrix Boulevard Brokaw Road Metro Drive Vito s Trattoria Ladda Thai Cuisine Pho Viet NYPD Pizza & Dogs Wong Kok Light Rail Stop / Free Airport Shuttle / Free Caltrain Shuttle Skyport Drive North First Street Light Rail 9

10 Major Business map Apple 10

11 . At Brokaw Rd San Jose, CAlifornia JOHN B. MACHADO EXECUTIVE VICE PRESIDENT DIRECT: CELL: john.machado@colliers.com CA License No Colliers International Silicon Valley 450 West Santa Clara Street San Jose, CA