Address: 900 E. McGalliard Road, Muncie, Indiana, United States 47303
Cap Rate: 4.90%
Lease Type: Triple-Net (NNN)
Annual Rent: $156,014
Net Operating Income: $156,014
Lease Term Remaining: 15 Years
Rental Increases: 8.0% Every Five (5) Years
Options: Four (4) Periods of Five (5) Years Each
Rentable Sq/Ft: 4,393 SF
Rent Sq/Ft: $35.51
Price Sq/Ft: $725
Lot Size: +/- 1.03 Acres
Marcus & Millichap is pleased to present the exclusive listing for a brand-new Panera Bread located at 900 E. Highway 80 in Muncie, IN. This is a rare investment opportunity to participate in a direct sale leaseback with Panera Bread. The newly constructed site consists of 4,393 rentable square feet of building space on estimated 1.03-acre parcel of land. The café opened December 5, 2019.
Panera, LLC, the corporate operating entity, will enter into a brand new 15-year triple-net (NNN) sale leaseback with the purchaser upon close of escrow. The initial annual rent will be $156,014 and will increase by eight percent (8.0%) every five (5) years throughout the term of the lease and in each option period. There will be four (4), five (5)-year tenant renewal options, extending the total possible lease term to 35 years.
The subject investment property is situated on E. McGalliard Road, which experiences an average daily traffic count exceeding 31,560 vehicles, respectively. Intersecting with E. McGalliard Road is N. Broadway Avenue, which brings an additional 15,400 vehicles into the immediate area on average daily. There are more than 80,750 individuals residing within a five-mile radius of the property and more than 111,340 individuals within a ten-mile radius.
This café benefits from being well-positioned in a highly dense retail corridor consisting of national and local tenants, shopping centers, and academic institutions all within close proximity of this property. Major national tenants within the immediate area include: Target, Dick’s Sporting Goods, Walgreens, CVS Pharmacy, Aldi, AMC Theatres, McDonald’s, Wendy’s, Burger King, Olive Garden, as well as many others. The subject property benefits from being an outparcel to Muncie Mall, Northeast Indiana’s premier shopping destination. The town center is home to more than 70 national and local retail, dining and entertainment options. This Panera Bread also benefits from its close proximity to several academic institutions. Most notable is Ball State University, which has a total enrollment exceeding 21,990 students and is located within a three-mile radius of the subject café. IU Health Ball Memorial Hospital, a 360 bed, general medical and surgical facility, is located less than four miles southeast of the Panera Bread.
Muncie, a city in and the county seat of Delaware County, is located in east central Indiana, approximately 50 miles northeast of the bustling city of Indianapolis. Described by several national studies as a typical American community, Muncie offers the advantages of larger cities without the hassles and costs associated with living in major metropolitan areas. Muncie is the regional hub for East Central Indiana. Their educational systems are outstanding and include: Ball State University, Ivy Tech Community College and Harrison College. Muncie/Delaware County also has five museums and a host of art galleries. Additionally, Muncie has been named the most affordable housing market in the State of Indiana and the 9th most affordable in the United States by research conducted by Coldwell Banker International.
Broker of Record: Josh Caruana License #RB14034355