Address: 1900 S. U.S. 31 By-Pass, Kokomo, Indiana, United States 46902
Cap Rate: 5.85%
Lease Type: Triple-Net (NNN)
Annual Rent: $231,523
Net Operating Income: $231,523
Lease Term Remaining: Triple-Net (NNN)
Rental Increases: 2.00% Annually
Options: Four (4), Five (5) Year Option Periods
Year Built: 1980
Rentable Sq/Ft: 8,024 SF
Rent Sq/Ft: $28.85
Price Sq/Ft: $493
Lot Size: +/-1.52 Acres
Marcus & Millichap is pleased to present the exclusive listing for a Red Lobster property located in Kokomo, Indiana. The property consists of 8,024 square feet of building space and is situated on approximately 1.52 acres of land. The property is subject to a 25-year Triple-Net (NNN) lease with 21 years remaining on the base term. The current rent is $231,523 and will continue to increase by 2.00% annually. The increases will continue through the four, five-year tenant renewal options.
This Red Lobster is located at 1900 South Reed Street in Kokomo, Indiana. Kokomo is a city in and the county seat of Howard County, Indiana. A significant number of technical and engineering innovations were developed in Kokomo, particularly in automobile production, which encompasses a substantial portion of Kokomo’s employment today.
The subject property is strategically positioned in a dense retail corridor benefiting from its proximity to major national and local tenants. Major national tenants in the area include: Walmart, Sears, Sam’s Club, Hobby Lobby, Target, Meijer, Walgreens, JCPenney, AMC, Kohl’s, McDonald’s, Burger King, as well as many others. Hotel accommodations in the area include the Comfort Inn & Suites, Fairfield Inn & Suites, Hampton Inn & Suites, Motel 6, and other local establishments. Community Howard Regional Health, a 152-bed, general medical and surgical facility is located less than two miles from this Red Lobster property. Indiana University Kokomo, a public institution with a total annual enrollment of over 4,106 students, is located within a two-mile radius. Markland Mall, an indoor mall that houses roughly 45 stores, can be found less than a mile from the subject property. In addition, General Motor’s Components Holding Facility, as well as Fiat Chrysler Automobile’s Transmission Plant, two of Kokomo’s largest employers, are within a half a mile radius.
Kokomo has approximately 42,353 individuals residing within a three-mile radius of the property and more than 66,031 within a five-mile radius. The Red Lobster Property is located on South Reed Road, also known as the U.S. Interstate 31 Bypass, which experiences average daily traffic counts exceeding 42,330 vehicles. Intersecting with South Reed Road is East Markland Avenue, which brings an additional 24,360 vehicles to the immediate area daily.
Kokomo’s employment is largely based in the manufacturing industry. Healthcare, social assistance, and the hospitality industry follow with combined total employment of roughly 15,000. A number of incentive programs help attract businesses to the city – programs such as property tax abatements, revolving loan funds, and customized business incentives all work to grow and develop the economy of Kokomo city. The city is also known for its Historical Society, which occupies the Seiberling Mansion and the Elliot House. The Seiberling Mansion was built as the residence of Monroe Seiberling, and is now a nationally recognized tourist attraction. Kokomo is also home to the Opalescent Glass Factory, Elwood Haynes Museum, and the Kokomo Art Center, which further elucidate Kokomo’s nickname: The City of Firsts.
Broker of Record: Josh Caruana – License # RB14034355