Investment Overview

Marcus & Millichap is pleased to present the opportunity to acquire the Panera Bread located at 5510 Clyde Park Avenue SW in Wyoming, Michigan, within the Grand Rapids MSA. The property is offered at $3,000,000, representing a 5.50% cap rate on current annual rent of $165,000. At closing, the property will be subject to a brand-new 15-year NNN lease, with 10% rental increases every five years throughout the initial term and four additional five-year renewal options. The 4,500-square-foot freestanding restaurant was constructed in 2015 on approximately one acre and features a modern Panera prototype with a drive-thru. The franchisee has operated at this location for approximately 11 years, providing an established operating history at the site. The restaurant is operated by Manna Development Group, one of Panera Bread’s largest franchisees, with approximately 160 Panera cafés across 11 states, and the lease is guaranteed by Hanna Graham Investments, LLC. A key attribute of the offering is its location within the Grand Rapids MSA and the established southwest Grand Rapids trade area. Positioned along Clyde Park Avenue SW, a heavily traveled arterial, the property benefits from an infill setting surrounded by established residential neighborhoods, commercial activity, and daily-needs retail. The five-mile trade area includes approximately 212,970 residents with an average household income of $93,360, while the seven-mile trade area expands to approximately 323,583 residents with an average household income of $95,786. The surrounding demographics further reinforce the depth of the Grand Rapids-area consumer base, with five-mile population increasing from 193,028 in 2010 to 212,775 in 2020 and projected to reach 215,739 by 2030. This offering is also available as part of a three-property Panera Bread offering, with additional 15-year NNN leased locations available in Kelso, Washington and Michigan City, Indiana, which may be acquired separately.