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Car Wash

Cobblestone Carwash | New 20 Year Term with 1.5% Annual Increases

11270 Huron St, Northglenn, CO 80234

Listing Price: $5,900,000

Cap Rate
6.25%
Tenant Name
Spotless Brands
Guarantor
Corporate Guarantee
Rentable SF
6,572
Lease Type
Absolute Net
Rent Per Square Feet
$56.11

Investment Overview


The investment opportunity presents a compelling long-term prospect with a 20-year Absolute Triple Net (NNN) Sale-Leaseback arrangement, backed by a corporate guaranty from Spotless Brands, LLC, encompassing over 160 units. The lease structure includes annual rental increases of 1.50%, along with four five-year tenant renewal options, potentially extending the lease term to an impressive 40 years. The investment benefits from accelerated and bonus depreciation, qualifying for both 80% bonus depreciation and 15-year accelerated depreciation. Moreover, the property is strategically located in a thriving retail corridor featuring prominent brands such as Target, Chick-fil-A, CVS, McDonald's, and more. The surrounding affluent community boasts an average household income exceeding $103,000 within a five-mile radius. Strong demographics include over 133,000 individuals within a three-mile radius and over 341,000 individuals within a five-mile radius. The location also enjoys robust traffic counts, with over 158,300, 61,800, and 22,500 vehicles per day along Interstate 25, West 120th Ave, and Huron Street, respectively. Notably, an academic presence is established with one high school, one middle school, and four elementary schools within a two-mile radius, boasting a total enrollment exceeding 2,900 students. The tenant, Spotless Brands, founded in 2019, is a rapidly growing and prominent player in the car wash industry, operating over 160 car washes across the United States in partnership with industry-leading brands. Cobblestone, one of Spotless Brands' flagship entities, holds a leadership position in both Phoenix, AZ, and Denver, CO, offering best-in-class service with state-of-the-art equipment and processes that enable their experienced crews to perform a full-service car wash in less than 15-25 minutes.

Investment Highlights

  • 20 Year Absolute-Net Sale-Leaseback
  • Corporate Guaranty 160+ Units
  • 1.5% Annual Increases / Four, 5 Year Options to Renew

Broker of Record

  • Adam Lewis

    First Vice President/Regional Manager

    (303) 328-2000

    License(s) CO: ER100091205

    Colorado

Financing By

Car Wash

Cobblestone Carwash | New 20 Year Term with 1.5% Annual Increases

Listing Price: $5,900,000

Cap Rate
6.25%
Tenant Name
Spotless Brands
Guarantor
Corporate Guarantee
Rentable SF
6,572
Lease Type
Absolute Net
Rent Per Square Feet
$56.11

Investment Highlights

  • 20 Year Absolute-Net Sale-Leaseback
  • Corporate Guaranty 160+ Units
  • 1.5% Annual Increases / Four, 5 Year Options to Renew

Investment Overview

The investment opportunity presents a compelling long-term prospect with a 20-year Absolute Triple Net (NNN) Sale-Leaseback arrangement, backed by a corporate guaranty from Spotless Brands, LLC, encompassing over 160 units. The lease structure includes annual rental increases of 1.50%, along with four five-year tenant renewal options, potentially extending the lease term to an impressive 40 years. The investment benefits from accelerated and bonus depreciation, qualifying for both 80% bonus depreciation and 15-year accelerated depreciation. Moreover, the property is strategically located in a thriving retail corridor featuring prominent brands such as Target, Chick-fil-A, CVS, McDonald's, and more. The surrounding affluent community boasts an average household income exceeding $103,000 within a five-mile radius. Strong demographics include over 133,000 individuals within a three-mile radius and over 341,000 individuals within a five-mile radius. The location also enjoys robust traffic counts, with over 158,300, 61,800, and 22,500 vehicles per day along Interstate 25, West 120th Ave, and Huron Street, respectively. Notably, an academic presence is established with one high school, one middle school, and four elementary schools within a two-mile radius, boasting a total enrollment exceeding 2,900 students. The tenant, Spotless Brands, founded in 2019, is a rapidly growing and prominent player in the car wash industry, operating over 160 car washes across the United States in partnership with industry-leading brands. Cobblestone, one of Spotless Brands' flagship entities, holds a leadership position in both Phoenix, AZ, and Denver, CO, offering best-in-class service with state-of-the-art equipment and processes that enable their experienced crews to perform a full-service car wash in less than 15-25 minutes.

Broker of Record

  • Adam Lewis

    First Vice President/Regional Manager

    (303) 328-2000

    License(s): CO: ER100091205

    Colorado

Financing By

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