14777 Bear Valley Rd
Hesperia, CA 92345
Retail Property For Sale

This offering represents the opportunity to acquire a newly built (2015) Popeye' s restaurant located right off Interstate 15 at Bear Valley Road the High Desert' s (Victorville, Hesperia, Apple Valley) busiest interchange and primary commercial corridor. Traffic counts along Bear Valley Road are comparable to those seen in major cities with the latest data showing traffic counts exceeding more than 63,000 vehicles per day. Less than a mile from the property is the Mall at Victor Valley, a ±500,000 sq.ft., regional shopping mall anchored by Macy' s, CineMark Theatres, Dick' s Sporting Goods, Red Lobster, Red Robin, and many more notable retailers. Within a five-mile radius of the subject property are more than 179,000 residents with an annual average household income of $58,981. At the close of escrow, the franchisee will sign a new 20-year, absolute-net lease, with two, five-year options, and 1.25 percent annual rent increases. The restaurant is already operating at a very healthy 8.5 percent EBITDA to Sales ratio, with sales steadily increasing month over month. Sales through the first quarter of 2016 are up over nine percent over the first quarter of 2015 when removing the honeymoon period. The franchisee is very experienced with 30+ locations throughout California and Nevada, and is currently expanding with 1 site under construction and 4 under contract. The subject offering is an fantastic opportunity for an investor to secure a safe, long-term lease with a growing company, in a highly desirable location in the heart of Victorville-Hesperia's main commercial corridor. As of 2014, Popeye' s Louisiana Kitchen, Inc. (NYSE: PLKI) is one of the fastest growing QSR' s in the industry. The company has enjoyed 19 quarters of positive same-store sales growth and commands 23.2 percent of the gross revenue in domestic chicken quick service restaurant segment. There are currently 2,443 locations operating in 40 states and 30 different countries.