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Restaurant

Cheddar’s Scratch Kitchen (Darden Restaurants, Inc. Corporate Guarantee)

3521 Outer Loop, Louisville, KY 40219

Listing Price: $3,741,345

Cap Rate
5.50%
Tenant Name
Cheddar’s Franchise Acquisition LLC
Years Remaining On Lease
10.9
Guarantor
Corporate Guarantee
Rentable SF
8,480
Lease Type
Triple Net (NNN)
Rent Per Square Feet
$24.27

Investment Overview

CORPORATE GUARANTEE: DARDEN RESTAURANTS, INC. The absolute NNN lease is corporately guaranteed by Darden Restaurants, Inc., which carries an “Investment Grade” credit rating of “BBB” from Standard & Poors. The company operates over 1,850 restaurant locations (with 8 different restaurant brands) and employs over 180,000 people. The company reported annual revenues in excess of $9.9 Billion in FY 2022 and currently boasts an estimated net worth in excess of $2.19 Billion. ABSOLUTE NNN LEASE | 11-YEARS REMAINING The subject property is a freestanding single tenant Cheddars Scratch Kitchen casual dining restaurant. There are approximately 11-years remaining on the original 15-year absolute NNN lease, which offers no landlord management or maintenance obligations whatsoever. The lease also offers a rare corporate guarantee from Darden Restaurants, Inc. (NYSE: DRI). ANNUAL RENT INCREASES DURING PRIMARY TERM & OPTIONS The long-term lease offers 1.5% annual rent increases during the primary term and each of the 4, 5-year option periods. WELL-POSITIONED NEXT TO THE LOUISVILLE OUTER LOOP TRADE AREA The Cheddar’s Scratch Kitchen is well positioned next to the Outer Loop trade area, a dense retail corridor on the highly trafficked Outer Loop Rd with traffic counts of 26,599 VPD and less than a mile to Interstate 65 connecting Louisville to Indianapolis and beyond. Two miles east is the Jefferson Mall, a 990,452 regional shopping center anchored by JCPenney, Dillard’s Old Navy, Jo-Ann Fabrics, and Ross Dress for Less with a Walmart across the street. Other national retailers nearby include Kroger, Best Buy, Target, PetSmart, TJ Maxx, Academy Sports + Outdoors, and others.

Investment Highlights

  • CORPORATE GUARANTEE: DARDEN RESTAURANTS, INC.
  • ABSOLUTE NNN LEASE | 11-YEARS REMAINING
  • ANNUAL RENT INCREASES DURING PRIMARY TERM & OPTIONS
  • WELL-POSITIONED NEXT TO THE LOUISVILLE OUTER LOOP TRADE AREA

Exclusively Listed By

Broker of Record

  • Colby Haugness

    First Vice President Investments

    (816) 410-1010

    License(s) KY: 242197

    Kentucky

Financing By

Restaurant

Cheddar’s Scratch Kitchen (Darden Restaurants, Inc. Corporate Guarantee)

Listing Price: $3,741,345

Cap Rate
5.50%
Tenant Name
Cheddar’s Franchise Acquisition LLC
Years Remaining On Lease
10.9
Guarantor
Corporate Guarantee
Rentable SF
8,480
Lease Type
Triple Net (NNN)
Rent Per Square Feet
$24.27

Investment Highlights

  • CORPORATE GUARANTEE: DARDEN RESTAURANTS, INC.
  • ABSOLUTE NNN LEASE | 11-YEARS REMAINING
  • ANNUAL RENT INCREASES DURING PRIMARY TERM & OPTIONS
  • WELL-POSITIONED NEXT TO THE LOUISVILLE OUTER LOOP TRADE AREA

Investment Overview

CORPORATE GUARANTEE: DARDEN RESTAURANTS, INC. The absolute NNN lease is corporately guaranteed by Darden Restaurants, Inc., which carries an “Investment Grade” credit rating of “BBB” from Standard & Poors. The company operates over 1,850 restaurant locations (with 8 different restaurant brands) and employs over 180,000 people. The company reported annual revenues in excess of $9.9 Billion in FY 2022 and currently boasts an estimated net worth in excess of $2.19 Billion. ABSOLUTE NNN LEASE | 11-YEARS REMAINING The subject property is a freestanding single tenant Cheddars Scratch Kitchen casual dining restaurant. There are approximately 11-years remaining on the original 15-year absolute NNN lease, which offers no landlord management or maintenance obligations whatsoever. The lease also offers a rare corporate guarantee from Darden Restaurants, Inc. (NYSE: DRI). ANNUAL RENT INCREASES DURING PRIMARY TERM & OPTIONS The long-term lease offers 1.5% annual rent increases during the primary term and each of the 4, 5-year option periods. WELL-POSITIONED NEXT TO THE LOUISVILLE OUTER LOOP TRADE AREA The Cheddar’s Scratch Kitchen is well positioned next to the Outer Loop trade area, a dense retail corridor on the highly trafficked Outer Loop Rd with traffic counts of 26,599 VPD and less than a mile to Interstate 65 connecting Louisville to Indianapolis and beyond. Two miles east is the Jefferson Mall, a 990,452 regional shopping center anchored by JCPenney, Dillard’s Old Navy, Jo-Ann Fabrics, and Ross Dress for Less with a Walmart across the street. Other national retailers nearby include Kroger, Best Buy, Target, PetSmart, TJ Maxx, Academy Sports + Outdoors, and others.

Exclusively Listed By

Broker of Record

  • Colby Haugness

    First Vice President Investments

    (816) 410-1010

    License(s): KY: 242197

    Kentucky

Financing By

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