Investment Overview

Marcus & Millichap is pleased to present the opportunity to acquire a corporately guaranteed Taco Bell ground lease located at 2038 N Saginaw Rd in Midland, Michigan. The property features a ±2,223-square-foot building situated on a ±20,038-square-foot parcel, with over 40 years of operating history and a full interior and exterior remodel completed in 2018. Backed by Taco Bell of America, LLC—a wholly owned subsidiary of Yum! Brands—the lease has approximately 12.5 years remaining on a true NNN ground lease with 10% rent increases every five years, including during each of the four, five-year renewal options. This Taco Bell ranks in the 98th percentile of all locations nationwide, according to Placer.ai, and continues to benefit from strong sales and foot traffic. The asset is strategically positioned along N Saginaw Rd, a high-visibility corridor with over 25,000 vehicles per day, and is surrounded by national retailers including McDonald’s, Walgreens, Starbucks, Kroger, and Meijer. With an annual rent of $82,500 and offered at a purchase price of $1,513,761, the investment represents an attractive 5.45% cap rate with passive, long-term cash flow backed by corporate credit. Midland is anchored by the global headquarters of Dow and supported by a diverse economy with strong representation in healthcare, education, and advanced manufacturing. The immediate trade area is characterized by high average household incomes exceeding $160,000 within a one-mile radius and continues to benefit from a mix of residential and commercial density. Given its exceptional operating history, recent capital improvements, and credit-backed lease structure, this offering presents a compelling opportunity to acquire a top-performing net-leased asset in a stable, high-income Michigan market.