Single Tenant Texas Roadhouse
Lufkin, TX
The Opportunity
Summary
- Price: $2,300,000
- Cap Rate: 5.00%
- NOI: $115,000
- Lease Type: NNN Ground Lease
- Building Size: 7,570 SF
- Parcel Size: 0.33 Acres (along with Shared Mall Parking)
- Year Built: 2021
- Remaining Lease Term: 12 Years
- Options: Three (3), Five (5) Year Options
- Rental Increases: 10% Every Five (5) Years
Forged Real Estate is pleased to exclusively offer the opportunity to acquire the fee simple interest in a single tenant property leased to Texas Roadhouse, (the “Property”) in Lufkin, a city in the Deep East of Texas, about 60 miles from the Texas-Louisiana state border. The recently constructed Texas Roadhouse operates on a NNN Ground Lease with twelve years remaining and ten percent (10%) increases every five (5) years, including the option periods. The NNN lease structure allows for a hands-off form of ownership. Texas Roadhouse sits as an outparcel to the Lufkin Mall and benefits from excellent visibility along South Medford Drive, a major thoroughfare boasting over 50,000 VPD. The Lufkin Texas Roadhouse is currently the only Texas Roadhouse location within fifty (50) miles of the property. As of Q1 2024, Texas Roadhouse’s comparable restaurant sales increased by 8.4% at company restaurants and 7.7% at domestic franchise restaurants compared to same quarter 2023. As of end of Q1 2024, there were 591 company-owned and 106 franchise-owned Texas Roadhouse locations. Texas Roadhouse, Inc. (inclusive of subsidiaries) reported a Q1 2024 total revenue of $1.31B, up 12.6% from 2023.
Investment Highlights:
Tenant
Snapshot
Ownership: PUBLIC (NASDAQ: TXRH)
Credit Rating: NR
Headquarters: LOUISVILLE, KY
# of Locations: 697 (As of End of Q1 2024)
Texas Roadhouse is an American steakhouse chain first opened by Kent Taylor in Clarksville, Indiana in 1993. Texas Roadhouse, Inc., the parent company of Texas Roadhouse, owns two additional concepts: Bubba’s 33 and Jaggers. Currently headquartered in Louisville, Kentucky, Texas Roadhouse specializes in steaks served in a Texan and Southwestern cuisine style. In addition to their hand-cut steaks, items such as their fall-off-the-bone ribs, made-from-scratch sides, and fresh-baked bread are what bring an average of 5,000 guests a week to each Texas Roadhouse location.
Strong National Tenant, Company-Wide YoY Revenue Increase – Texas Roadhouse is an American steakhouse chain currently headquartered in Louisville, Kentucky. As of Q1 2024, Texas Roadhouse’s comparable restaurant sales increased by 8.4% at company restaurants and 7.7% at domestic franchise restaurants compared to same quarter 2023. As of end of Q1 2024, there were 591 company-owned and 106 franchise-owned Texas Roadhouse locations. Texas Roadhouse, Inc. (inclusive of subsidiaries) reported a Q1 2024 total revenue of $1.31B, up 12.6% from 2023. Additionally, average weekly sales at company restaurants were $159,378 for Q1 2024.
