TACO BELL

TACO BELL
5960 CENTRAL FLORIDA PKWY, ORLANDO, FL 32821
OFFERING MEMORANDUM
™
R E T A I L
A D V I S O R S
C O N FID E N T I A L I T Y & DI SC LA IMER STATEMEN T
This Offering Memorandum contains select information pertaining to the business and affairs of Taco Bell located at 5960 Central
Florida Pkwy, Orlando, FL 32821 (“Property”). It has been prepared by Matthews Retail Advisors . This Offering Memorandum may not
be all-inclusive or contain all of the information a prospective purchaser may desire. The information contained in this Offering
Memorandum is confidential and furnished solely for the purpose of a review by a prospective purchaser of the Property. It is
not to be used for any other purpose or made available to any other person without the written consent of Seller or Matthews
Retail Advisors . The material is based in part upon information supplied by the Seller and in part upon financial information
obtained from sources it deems reliable. Owner, nor their officers, employees, or agents makes any representation or warranty,
express or implied, as to the accuracy or completeness of this Offering Memorandum or any of its contents and no legal
liability is assumed or shall be implied with respect thereto. Prospective purchasers should make their own projections and
form their own conclusions without reliance upon the material contained herein and conduct their own due diligence.
By acknowledging your receipt of this Offering Memorandum for the Property, you agree:
1. The Offering Memorandum and its contents are confidential;
2. You will hold it and treat it in the strictest of confidence; and
3. You will not, directly or indirectly, disclose or permit anyone else to disclose this Offering Memorandum or its contents
in any fashion or manner detrimental to the interest of the Seller.
Owner and Matthews Retail Advisors expressly reserve the right, at their sole discretion, to reject any and all expressions
of interest or offers to purchase the Property and to terminate discussions with any person or entity reviewing this Offering
Memorandum or making an offer to purchase the Property unless and until a written agreement for the purchase and sale of
the Property has been fully executed and delivered.
If you wish not to pursue negotiations leading to the acquisition of the Property or in the future you discontinue such
negotiations, then you agree to purge all materials relating to this Property including this Offering Memorandum.
A prospective purchaser’s sole and exclusive rights with respect to this prospective transaction, the Property, or information
provided herein or in connection with the sale of the Property shall be limited to those expressly provided in an executed
Purchase Agreement and shall be subject to the terms thereof. In no event shall a prospective purchaser have any other claims
against Seller or Matthews Retail Advisors or any of their affiliates or any of their respective officers, Directors, shareholders,
owners, employees, or agents for any damages, liability, or causes of action relating to this solicitation process or the
marketing or sale of the Property.
This Offering Memorandum shall not be deemed to represent the state of affairs of the Property or constitute an indication that
there has been no change in the state of affairs of the Property since the date this Offering Memorandum.
Matthews Retail Advisors
Table of Contents
PRICING & FINANCIAL ANALYSIS
Investment Highlights.................................................... 2
Executive Summary...................................................... 3
Company Overview .................................................... 4
PROPERTY DESCRIPTION
Physical Description...................................................... 6
Birds Eye..................................................................... 7
Regional Map/Local Map............................................. 8
Tenant Map................................................................. 9
DEMOGRAPHICS
City Overview | Orlando, FL....................................... 12
Demographics Report................................................. 13
EXCLU SIVELY LIST E D BY:
Kevin Chang
Associate
DIRECT +1.310.919.5828
MOBILE +1.951.616.8918
kevin.chang@matthews.com
License No. 01976724
Gary Chou
Director | Restaurant Practice Group
DIRECT +1.310.919.5827
MOBILE +1.714.928.8016
gary.chou@matthews.com
License No. 01911222
Justin Beck
Broker of Record
License No. BK3118299
Matthews Retail Advisors
™
Pricing & Financial Analysis
PRICING AND FINANCIAL ANALYSIS
PROPERTY DESCRIPTION
DEMOGRAPHICS
Investment Highlights
STABILIZED INVESTMENT FOR PASSIVE INVESTORS
EXCELLENT RETAIL LOCATION
• Absolute NNN Investment – ZERO landlord responsibilities as • Trophy Location – Taco Bell benefits from frequent tourist visits
tenant takes care of maintenance, taxes and insurance for the
to SeaWorld Orlando as the site is located just in front of the
landlord making this an attractive and secure passive investment
park’s entrance
• Stabilized Long-Term Investment – The current lease has 17 years
remaining on its original
LEADING FAST-FOOD BRAND
• Strong Retail Corridor – National retailers in the area include
Wawa, Walgreens, Denny’s, KFC, Wendy’s, TGI Friday’s, Buffalo
Wild Wings, Panera Bread, Starbucks and Firehouse Subs among
others
• Taco Bell is the Largest Mexican Food Franchise – With over • Heavy Traffic Counts with Great Visibility – Central Florida Pkwy
6,500 restaurants, Taco Bell generates over $6.2B in revenue
supports over 30,000 VPD from commuter traffic and even
annually
more during peak tourist season as it can be easily seen and
accessed by both WB and EB traffic
• Corporate Guarantee – Yum! Brands (S&P: BBB) have over 41,000
underleveraged assets worldwide, generating approximately
• Healthy Population Growth – Growth over the next 5 years is
$41.5B in revenue annually
accelerating with 5.13% in a 1-mile radius, 9.09% in a 3-mile radius and 8.99% in a 5-mile radius
• Growth Driven Brand – Taco Bell is commited to drawing new
business to its stores – Most recently, the brand introduced
revolutionary concepts like delivering fast food and serving
alcohol in urbanized areas
STRONG MARKET FOR QUICK SERVICE RESTUARANTS
• Tourist Destination – Orlando is known as “The Theme Park
Capital of the World” with attractions such as Walt Disney World,
Universal Studios Florida, and SeaWorld being the biggest and
most popular
• As the 26th largest metropolitan area in the Southern United
States and the 3rd largest city in the state of Florida, Orlando is
home to over 2,134,411 year-round residents
Taco Bell
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PRICING AND FINANCIAL ANALYSIS
PROPERTY DESCRIPTION
DEMOGRAPHICS
Executive Summary
TACO BELL
Annualized Operating Data
5960 CENTRAL FLORIDA PKWY
ORLANDO, FL 32821
List Price.............................................................................................$2,134,000
CAP Rate - Current������������������������������������������������������������������������������������3.75%
Gross Leasable Area������������������������������������������������������������������������ 2,908 SF
Lot Size ..........................................................................1.06 Acres (46,130 SF)
Year Built������������������������������������������������������������������������������������������������������� 2012
Monthly Rent
Annual Rent
Rent/SF CAP Rate
Current - 10/29/2017
$6,666.67
$80,000
$27.51
3.75%
10/30/2017 - 10/29/2022
$7,333.33
$88,000
$30.26
4.13%
10/30/2022 - 10/29/2027
$8,066.67
$96,800
$33.29
4.54%
10/30/2027 - 10/29/2032
$8,873.33
$106,480
$36.62
4.99%
O1: 10/30/2032 - 10/29/2037
$9,760.67
$117,128
$40.28
5.49%
O2: 10/30/2037 - 10/29/2042
$10,736.73
$128,841
$44.31
6.04%
O1: 10/30/2042 - 10/29/2047
$11,810.41
$141,725
$48.74
6.64%
O4: 10/30/2047 - 10/29/2052
$12,991.45
$155,897
$53.61
7.31%
Tenant Summary
Tenant Trade Name
Taco Bell
Type of Ownership
Fee Simple
Lease Guarantor
Lease Type
Roof and Structure
Original Lease Term
Ground Lease
Tenant Responsible
20
Lease Commencement Date
10/30/2012
Lease Expiration Date
10/29/2032
Term Remaining on Lease
Increases
Options
Taco Bell
Corporate
| MATTHEWS RETAIL ADVISORS | P. 3
17.08
10% Every 5 Years
Four (4) 5-Year Options
PRICING AND FINANCIAL ANALYSIS
PROPERTY DESCRIPTION
DEMOGRAPHICS
Company Overview
Property Name
Taco Bell
Gross Leasable Area
2,908 SF
Property Type
Net Leased Quick Service Restaurant
Parent Company Trade Name
Yum! Brands, Inc.
Ownership
Public
Credit Rating
BBB/Baa3
Rating Agency
S&P/Moody’s
Revenue
$13.28 Billion
Net Income
$1.05 Billion
Stock Symbol
YUM
Board
NYSE
No. of Locations
±41,000
No. of Employees
±537,000
Headquartered
Louisville, KY
Web Site
http://www.yum.com/
Year Founded
Yum! Brands, Inc., (NYSE: YUM), based in Louisville, Kentucky, is one of the world’s
largest restaurant companies with over 41,000 restaurants in more than 125 countries
and territories. Yum! Brands is ranked #216 on the FORTUNE 500 list with revenues of
more than $13 billion and in 2014 was named among the 100 Best Corporate Citizens
by Corporate Responsibility Magazine and one of the Aon Hewitt Top Companies for
Leaders in North America. Our restaurant brands – KFC®, Pizza Hut® and Taco Bell®
– are the global leaders of the chicken, pizza and Mexican-style food categories.
Since its spin-off from PepsiCo in 1997, Yum! Brands has become a truly global
company going from approximately 20 percent of profits coming from outside the U.S.
to almost 70 percent in 2014. It is a leader in international retail development, opening
on average over five new restaurants per day outside the U.S. in 2014.
Yum! Brands has a portfolio of brands with leadership positions in China and other
emerging markets, with a long runway for growth. It is the worldwide leader in
emerging markets with more than 15,000 restaurants, nearly twice as many as the
nearest competition. With only 2 restaurants per million people in the top 10 emerging
markets, compared to 57 restaurants per million in the U.S., we are on the ground floor
of global growth.
1997
Taco Bell
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Source: http://www.yum.com/company/
™
Property Description
PRICING AND FINANCIAL ANALYSIS
PROPERTY DESCRIPTION
Physical Description
THE OFFERING
Property Name...........................................................................................Taco Bell
Property Address.................................................... 5960 Central Florida Pkwy
Orlando, FL 32821
Assessor’s Parcel Number........................................... 28-24-13-6283-00-064
SITE DESCRIPTION
Number of Stories���������������������������������������������������������������������������������������������One
Year Built..............................................................................................................2012
Gross Leasable Area (GLA)��������������������������������������������������������������������2,908 SF
Lot Size........................................................................... 1.06 Acres (46,261 SF)
Type of Ownership................................................................................Fee Simple
Parking...................................................................................... 34 Surface Spaces
Parking Ratio...................................................................................11.70 : 1,000 SF
Landscaping.........................................................................................Professional
Topography.................................................................................... Generally Level
CONSTRUCTION
Foundation........................................................................................Concrete Slab
Framing..............................................................................................................Wood
Exterior............................................................................................. Painted Stucco
Parking Surface.............................................................................................Asphalt
Roof.........................................................................................................................Flat
Taco Bell
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DEMOGRAPHICS
PRICING AND FINANCIAL ANALYSIS
PROPERTY DESCRIPTION
DEMOGRAPHICS
Birds Eye
y
Central Florida Pkw
Taco Bell
CPD
0
0
0
,
: 30
| MATTHEWS RETAIL ADVISORS | P. 7
PRICING AND FINANCIAL ANALYSIS
PROPERTY DESCRIPTION
Regional Map
Local Map
Taco Bell
| MATTHEWS RETAIL ADVISORS | P. 8
DEMOGRAPHICS
PRICING AND FINANCIAL ANALYSIS
PROPERTY DESCRIPTION
Tenant Map
Taco Bell
| MATTHEWS RETAIL ADVISORS | P. 9
DEMOGRAPHICS
PRICING AND FINANCIAL ANALYSIS
PROPERTY DESCRIPTION
Taco Bell
| MATTHEWS RETAIL ADVISORS | P. 10
DEMOGRAPHICS
™
Demographics
PRICING AND FINANCIAL ANALYSIS
PROPERTY DESCRIPTION
DEMOGRAPHICS
City Overview | Orlando, FL
Orlando is a city in the U.S. state of Florida, and the county seat of Orange
County. Located in Central Florida, it is the center of the Orlando metropolitan
area, making it the 26th largest metropolitan area in the United States, the
sixth largest metropolitan area in the Southern United States, and the third
largest metropolitan area in the state of Florida.
The City of Orlando is nicknamed “The City Beautiful” and its symbol is the
fountain at Lake Eola. Orlando is also known as “The Theme Park Capital of
the World.” Orlando’s famous attractions form the backbone of its tourism
industry: Walt Disney World Resort, located approximately 21 miles (34 km)
southwest of Downtown Orlando in Lake Buena Vista, opened by the Walt
Disney Company in 1971; the Universal Orlando Resort, opened in 1999 as a
major expansion of Universal Studios Florida;SeaWorld; Gatorland; and Wet
‘n Wild. With the exception of Walt Disney World, most major attractions are
located along International Drive. The city is also one of the busiest American
cities for conferences and conventions.
Taco Bell
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PRICING AND FINANCIAL ANALYSIS
PROPERTY DESCRIPTION
Demographics Report
Population
2020 Projection
2015 Estimate
2010 Census
2000 Census
Growth 2015-2020
Growth 2010-2015
Growth 2000-2010
1-Mile
5,866
5,580
5,330
4,920
5.13%
4.68%
8.35%
3-Mile
46,278
42,422
38,079
26,870
9.09%
11.41%
41.71%
5-Mile
137,315
125,992
113,521
80,018
8.99%
10.99%
41.87%
Households
2020 Projection
2015 Estimate
2010 Census
2000 Census
Growth 2015-2020
Growth 2010-2015
Growth 2000-2010
2,859
2,720
2,601
2,393
5.10%
4.59%
8.69%
16,624
15,191
13,594
10,585
9.44%
11.75%
28.42%
47,521
43,576
39,290
28,921
9.05%
10.91%
35.85%
Income
$0 - $15,000
$15,000 - $24,999
$25,000 - $34,999
$35,000 - $49,999
$50,000 - $74,999
$75,000 - $99,999
$100,000 - $124,999
$125,000 - $149,999
$150,000 - $199,999
$200,000 - $249,999
$250,000 - $499,999
$500,000+
2015 Est. Average Household Income
2015 Est. Median Household Income
11.25
12.21
11.76
21.43
23.05
11.36
5.51
1.25
1.43
0.22
0.40
0.11
$52,850
$45,340
10.03
9.42
14.41
18.19
20.11
12.09
6.16
2.48
3.33
1.05
1.89
0.84
$66,778
$48,308
10.01
10.46
13.41
15.35
19.54
11.92
7.25
3.59
3.85
1.39
2.37
0.87
$71,072
$50,985
Taco Bell
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DEMOGRAPHICS
TACO BELL
5960 Central Florida Pkwy
Orlando, FL 32821
OFFERING MEMORANDUM
Kevin Chang
Associate
DIRECT +1.310.919.5828
MOBILE +1.951.616.8918
kevin.chang@matthews.com
License No. 01976724
Gary Chou
Director | Restaurant Practice Group
DIRECT +1.310.919.5827
MOBILE +1.714.928.8016
gary.chou@matthews.com
License No. 01911222
Matthews Retail Advisors | 841 Apollo Street, Suite 150 | El Segundo, CA 90245 | www.Matthews.com
™
Justin Beck
Broker of Record
License No. BK3118299