Investment Overview

Marcus & Millichap is pleased to exclusively present for sale this absolute net-leased IHOP restaurant located at 2840 Apalachee Parkway in Tallahassee, Florida. Positioned along the highly trafficked Apalachee Parkway / U.S. Highway 27, the property benefits from its premier location along one of Tallahassee’s most active commercial corridors. The subject property features a 3,996-square-foot freestanding building and is situated on a 0.66-acre parcel with ample dedicated parking. Strategically positioned along Apalachee Parkway / U.S. Highway 27, one of Tallahassee’s primary commercial thoroughfares, the property benefits from exceptional exposure to over 39,000 vehicles per day. This corridor is characterized by a robust mix of national and regional retailers, strong consumer traffic, and direct access to the city’s densest employment and residential nodes. The surrounding trade area is home to a well-established collection of national brands including McDonald’s, Zaxby’s, Culver’s, Havertys, Bank of America, CVS, Target, and Kohl’s; confirming the corridor’s enduring strength as a high-frequency consumer destination. The subject property is situated within a uniquely stable and recession-resistant market anchored by Florida’s state government, higher education, and healthcare. Tallahassee serves as Florida’s capital city, with nearly 30 state agency headquarters making the State of Florida the largest employer in the metro. Florida State University enrolls over 42,000 students and employs more than 15,000 people, while Florida A&M University and related institutions bring total enrollment across the metro to over 65,000 students; generating consistent, year-round consumer demand. Tallahassee Memorial Healthcare, with nearly 6,000 employees, is the largest private-sector employer in the market, further anchoring household income stability and dining demand throughout the trade area. The 5-mile trade area supports a daytime population of 264,060 and a median household income of $63,930, providing a deep and durable consumer base well-suited to everyday dining concepts like IHOP. The property is leased on an absolute net basis with zero landlord responsibilities and has approximately four years remaining on the base term through April 19, 2030. The lease features attractive 1.25 percent annual rent increases throughout the initial term and across all six additional five-year renewal options. Current annual rent is $174,566 ($43.69/SF) and is backed by a franchisee guarantee from Sunshine Restaurant Partners, LLC, a committed IHOP operator with more than 14 years of continuous operating history at this location. IHOP, a subsidiary of Dine Brands Global, Inc., is one of the most recognized casual dining brands in the United States, operating over 1,800 locations globally across all 50 U.S. states. Built on a franchise model that has demonstrated resilience across economic cycles, IHOP serves millions of guests annually through a full-day dining platform that extends well beyond breakfast. Dine Brands Global oversees a portfolio of iconic restaurant brands and provides franchisees with the operational infrastructure and brand support to sustain long-term performance across diverse market conditions.