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Restaurant

Velvet Taco

2626 W Loop S, Houston, TX 77027

Listing Price: $7,777,778

Cap Rate
4.50%
Tenant Name
Corporate
Years Remaining On Lease
14.4
Gross SF
2,132
Guarantor
Corporate Guarantee
Rentable SF
2,132
Price/Gross SF
$3,648.11
Lease Type
Ground Lease
Rent Per Square Feet
$164.17

Investment Overview

Marcus & Millichap is pleased to present the exclusive offering for a subject Velvet Taco; an investment opportunity in the economic powerhouse of Southeast Texas within Harris County, and more particularly located at 2626 West Loop South in Houston, Texas. Opened January 25th, 2021, the subject investment consists of a 2,132 SF building on a +/- 0.23-acre parcel. Situated just off one of the nations busiest thoroughfares, Loop 610 as an outparcel to The Galleria, Texas largest shopping center and fourth largest domain nationally. The subject property is located on the west side of Loop 610, which experiences average daily traffic counts exceeding 252,400 vehicles, respectively. To the west: Dillards; To the south: The Galleria; To the east: Shell Gasoline. Houston is a city in Texas, within the Houston - The Woodlands - Sugar Land metropolitan statistical area.
The investment opportunity is subject to a brand new 15-year, triple-net ground lease with Taco Libre XXIII, LLC dba Velvet Taco (Tenant). The lease commenced upon store opening, January 25th, 2021 and is subject to two (2), five (5)-year tenant renewal options, bringing the total possible lease term to 25 years. The initial rent is $350,000 and is subject to increase by ten percent (10.0%) every five years. The lease is corporately guaranteed by Velvet Taco, Inc.; which currently operates 19-units and has plans to open two more locations in San Antonio in the coming months.

Investment Highlights

  • Brand New 15 Year Triple Net (NNN) Ground Lease
  • Absolute Triple Net (NNN) Lease with Zero Landlord Responsibilities
  • Attractive Rent Increases: 10% Every 5 Years
  • Two (2),Five (5) Year Tenant Renewal Options
  • E-Commerce Resistant Investment Opportunity

Exclusively Listed By

  • Glen D. Kunofsky

    Licensed Associate Real Estate Broker

    (212) 430-5115

    Email Glen

    License(s): NY: 10301203289, NY: 109940808

    Manhattan

Broker of Record

  • Tim Speck

    Senior Vice President / Division Manager

    (972) 755-5200

    License(s) TX: 9002994

    Texas

Listing Price: $7,777,778

Cap Rate
4.50%
Tenant Name
Corporate
Years Remaining On Lease
14.4
Gross SF
2,132
Guarantor
Corporate Guarantee
Rentable SF
2,132
Price/Gross SF
$3,648.11
Lease Type
Ground Lease
Rent Per Square Feet
$164.17

Investment Highlights

  • Brand New 15 Year Triple Net (NNN) Ground Lease
  • Absolute Triple Net (NNN) Lease with Zero Landlord Responsibilities
  • Attractive Rent Increases: 10% Every 5 Years
  • Two (2),Five (5) Year Tenant Renewal Options
  • E-Commerce Resistant Investment Opportunity

Investment Overview

Marcus & Millichap is pleased to present the exclusive offering for a subject Velvet Taco; an investment opportunity in the economic powerhouse of Southeast Texas within Harris County, and more particularly located at 2626 West Loop South in Houston, Texas. Opened January 25th, 2021, the subject investment consists of a 2,132 SF building on a +/- 0.23-acre parcel. Situated just off one of the nations busiest thoroughfares, Loop 610 as an outparcel to The Galleria, Texas largest shopping center and fourth largest domain nationally. The subject property is located on the west side of Loop 610, which experiences average daily traffic counts exceeding 252,400 vehicles, respectively. To the west: Dillards; To the south: The Galleria; To the east: Shell Gasoline. Houston is a city in Texas, within the Houston - The Woodlands - Sugar Land metropolitan statistical area.
The investment opportunity is subject to a brand new 15-year, triple-net ground lease with Taco Libre XXIII, LLC dba Velvet Taco (Tenant). The lease commenced upon store opening, January 25th, 2021 and is subject to two (2), five (5)-year tenant renewal options, bringing the total possible lease term to 25 years. The initial rent is $350,000 and is subject to increase by ten percent (10.0%) every five years. The lease is corporately guaranteed by Velvet Taco, Inc.; which currently operates 19-units and has plans to open two more locations in San Antonio in the coming months.

Exclusively Listed By

  • Glen D. Kunofsky

    Licensed Associate Real Estate Broker

    (212) 430-5115

    Email Glen

    License(s): NY: 10301203289, NY: 109940808

    Manhattan

Broker of Record

  • Tim Speck

    Senior Vice President / Division Manager

    (972) 755-5200

    License(s): TX: 9002994

    Texas

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