202 Hamric Dr
Oxford, AL 36203
Pizza Hut (15+ Years Remaining) · Retail Property For Sale

The subject offering affords investors the rare opportunity to acquire an absolute net leased Pizza Hut in Oxford, Alabama. Built to suit in 2008 to Pizza Hut’s specifications, the tenant executed a 25-year lease that extends through October of 2033. Accordingly, there are now approximately 15.5 firm years remaining a primary lease term that is also accompanied by two additional five-year option periods extending through 2043. Attractively offered at a 7.00 percent capitalization rate with rent increases every five years, there are currently $1,263,600 in scheduled rent payments due over the remainder of the lease term – a rare figure which exceeds the offering’s $1,131,000 asking price by $132,600. Located along one of the city’s primary retail arteries, this asset is ideally situated and primed for sustained operational success. The subject property enjoys positive retail synergy produced by other tenants in the trade area, including, but not limited to: Walmart, Chick-fil-A, Burger King, Arby’s, McDonalds, Applebee’s, Martins, the Quintard Mall, and nearly a dozen national hotel chains. It sits geographically between Oxford High School and Interstate 20 a few hundred yards in either direction. This subject Pizza Hut is operated by the Bullock-Scott Restaurant Group, who acquired this location and its interest in the lease as part of an eleven-unit acquisition completed in July of 2013. Based in Clarksville, Tennessee, Bullock-Scott Restaurant Group is one of the largest Pizza Hut franchisees in the southeastern United States and currently operates approximately 45 units.