Address: 301 W Hively Ave, Elkhart, Indiana, United States 46517
Cap Rate: 5.25%
Lease Type: Triple Net (NNN)
Annual Rent: $120,000
Net Operating Income: $120,000
Lease Term Remaining: 20 Years
Rental Increases: Lessor of Change in CPI or 1.25% Annually Starting Year 3
Options: Six (6), Five (5) Year Option Periods
Rentable Sq/Ft: 2,400 SF
Rent Sq/Ft: $50
Price Sq/Ft: $952
Lot Size: +/- 0.64
Marcus & Millichap is pleased to present the exclusive listing for a Wendy’s located at 301 W Hively Ave in Elkhart, IN. The property consists of 2,400 square feet of building space and is situated on approximately 0.64 acre of land.
The tenant will enter into a brand new, 20-year triple-net (NNN) lease with absolutely no landlord responsibilities upon the day following the close of escrow. The lease will call for rental increases that will be the lesser of the change in CPI or 1.25% annually starting in Year 3. The rental increases will continue through the base term and into the six, five-year tenant renewal options. The lease will carry a guaranty from Meritage Hospitality Group, an experienced 318 unit operator and the second largest franchisee in the Wendy’s system.
This Wendy’s property is located at 301 W Hively Ave in Elkhart, IN. Elkhart is a city in Elkhart County, IN. Elkhart has the larger population of the two principal cities of the Elkhart-Goshen Metropolitan Statistical Area.
SURROUNDING RETAIL & POINTS OF INTEREST The subject property is well-positioned in a strong retail corridor with national and local tenants, shopping centers, hospitals, and academic institutions. Located across the street from Woodland Crossing shopping center, national tenants in the surrounding area include: Sears, Kroger, CVS Pharmacy, Walgreens, Big Lots, Family Dollar, Subway, as well as several others. The subject Wendy’s property benefits from being located just under three miles from Elkhart General Hospital. Elkhart General Hospital is a 357-licensed-bed hospital comprised of over 300 physicians representing more than 30 medical specialties, and nearly 2,000 employees serve in nursing, technical, administrative and support capacities. The subject property benefits from being located within a five-mile radius of several academic institutions. Most notable of these being Elkhart Central and Memorial High Schools with a combined enrollment exceeding 3,600 students.
TRAFFIC COUNTS & DEMOGRAPHICS
This area has strong demographics, with approximately 51,023 people residing within a three-mile radius and 92,696 people within a five-mile radius of the subject property. This Wendy’s is located on W Hively Ave which experiences average daily traffic counts of 14,024 vehicles. W Hively Ave interests with S Main St which brings an additional 16,771 vehicles into the immediate area daily.
Elkhart is a city in Elkhart County, Indiana, located 15 miles east of South Bend, Indiana, 110 miles east of Chicago, Illinois, and 150 miles north of Indianapolis, Indiana. Elkhart is best known for two industries: recreational vehicles and musical instruments. It has been referenced as the “RV Capital of the World” and the “Band Instrument Capital of the World” for decades. Elkhart is home to many Recreational vehicle (RV) manufacturers, boat manufacturers, and van conversion companies, including Bennington Marine, Forest River Inc, Keystone, as well others. Other notable industries in Elkhart include: pharmaceuticals, electronic components, manufactured housing, and mobile homes. Farming also plays a big role in the local economy along with other smaller industries. Tourism rounds out Elkhart County’s economy. Destinations such as Das Dutchman Essenhaus in Middlebury and Amish Acres in Nappanee along with annual events such as the Elkhart Jazz Festival, the Amish Acres Arts Crafts Festival, and the Elkhart County 4 H Fair draw in thousands of tourists every year. The Fair is the second largest county fair in the United States. Indiana as a whole ranks high in low taxes and low costs of doing business. Due to the heavy volume of manufacturing jobs traditionally found in Elkhart, economic downturns have led to greater tax benefits to further incentivize businesses to invest, develop, and relocate. Furthermore, a strong network of supply industries helps support these and other industries.
Broker of Record: Josh Caruana License #RB14034355