Address: 7607 Day Drive, Parma, Ohio, United States 44129
Cap Rate: 6.15%
Lease Type: Triple Net (NNN)
Annual Rent: $271,376
Net Operating Income: $271,376
Lease Term Remaining: 20 Years
Rental Increases: 2 Percent Annually
Options: Four (4), Five (5) Year Option Periods
Year Built: 1975
Rentable Sq/Ft: 7,608 SF
Rent Sq/Ft: $35.67
Price Sq/Ft: $580
Lot Size: +/-1.67 Acres
Marcus & Millichap is pleased to present the exclusive listing for a Red Lobster property located in Parma, Ohio. The property consists of 7,608 square feet of building space and is situated on approximately 1.67 acres of land. The property is subject to a 25-year Triple-Net (NNN) lease with 20 years remaining on the base term. The current rent is $271,376 and will continue to increase by 2.00% annually. The increases will continue through the four, five-year tenant renewal options.
Red Lobster is the largest seafood restaurant concept in the world and is an iconic full service brand with broad demographic appeal and significant advertising budget. Red Lobster is led by an experienced management team with a history of success leading the brand(average 27+ years experience across executive team). The company generates $2.5 billion in revenue and is the 5th largest casual dining concept in North America. Red Lobster was recently acquired by Golden Gate Capital.
This Red Lobster is located at 7607 Day Drive in Parma, Ohio. Parma is a town in Cuyahoga County, Ohio, as well as suburb of Cleveland. Cuyahoga County is the most populous county in the state. Cleveland, the second largest city in the state, is located ten miles north of the property.
The subject property is well-positioned in a very dense retail corridor, benefitting from the large amount of major national tenants in the nearby area. Walmart, Target, Giant Eagle, Dick’s Sporting Goods, Starbucks, McDonald’s, Circle K, Toys R’ Us, Game Stop, BP, Shell, PNC, Firestone, Pet Smart, and several others are found in the immediate vicinity. Additionally, located across the street from this Red Lobster property is University Hospitals Parma Medical Center, a 322 bed, general medical and surgical facility. Adjacent to the property is the National Premier Soccer Leagues Cleveland Royals’ home: Byers Field. Byers Field is a 12,750 person field that had underwent a $790,000 renovation in 2008.
Parma has approximately 106,265 individuals residing within a three-mile radius of the property and more than 243,520 within a five-mile radius. This Red Lobster property located on Day Drive, intersects with Ridge Road, which experiences average daily traffic counts exceeding 24,600. Intersecting with Ridge Road is West Ridgewood Drive, which brings an additional 17,400 vehicles to the immediate area daily.
Cleveland is the county seat of Cuyahoga County, Ohio as well as the second largest city in the state. Cleveland is located in northeast Ohio along Lake Erie. Case Western Reserve University and Cleveland State University are found within the city, with a total enrollment of nearly 30,000 students. Additionally the 2016 NBA Champions, the Cleveland Cavaliers, play in the Quicken Loans Arena, found in downtown Cleveland. The Quicken Loans Arena is the second largest arena in the NBA with a seating capacity of over 20,500. Cleveland’s location on the Coyahoga River and Lake Erie has helped establish the city as an important business center. Several headquarters such as Cliffs Natural Resources, NACCO Industries, KeyCorp, and the Sherwin-Williams company are located in Cleveland.
Broker of Record: Michael Glass – License # BRK.2007005898