Subway Portfolio 6 Retail Properties Offered at $3,800,000 in Multiple Locations
INVESTMENT HIGHLIGHTS
- 20-Year Absolute NNN Master Lease
- Portfolio Comprised of Five Freestanding Subway Restaurants with Drive-Thrus and One Subway/Goodwill Multi-Tenant Center
- 30+ Year Operating History | All Locations Recently Remodeled ($1M+ capex)
- 1.5% Annual Rent Increases | Zero Landlord Responsibilities
- Diversified locations across Central Illinois with Stable Demographics and Limited Competition
- Above-Average System-Wide Sales and Low Rents (Rent to Sales less than 8%)
EXECUTIVE SUMMARY
Marcus & Millichap is pleased to exclusively present for sale an exceptional portfolio of five recently remodeled, freestanding Subway restaurants with drivethrus and one Subway/Goodwill multi-tenant center located across key Central Illinois markets: Beardstown, Havana, Mount Sterling, Canton, Bartonville, and Manito. This offering represents an attractive 20-year absolute NNN masterlease structure with 1.5 percent annual rent increases, delivering a strong and growing income stream for investors.
This is a rare chance to secure long-term leased assets from a globally recognized QSR brand in freestanding locations priced well below replacement costs. The portfolio boasts a 30+ year operating history, highlighting deeprooted community presence and customer loyalty. Strategically situated on main and main in smaller, stable towns these Subway locations face limited competition and are widely regarded as a go-to dining destination in their respective communities.
The portfolio demonstrates strong financial performance, outperforming Subway’s system-wide sales average with low rent levels (less than 8% rent-to-sales). Additionally, all six locations have been remodeled within the past three years, with over $1 million in capital investment—positioning the stores for continued success and operational stability.
The portfolio is supported by a committed and hands-on operator that brings 15+ years of experience underwriting various businesses through prior investments and private equity roles, Subway Corporate (acquired by Roark Capital in 2023 for $9.6 billion), and managers (store and area) that have 20+ years of experience running these locations.
This offering also presents a compelling arbitrage opportunity—allowing investors to acquire a diversified, income-generating portfolio at an attractive basis, relative to the pricing of one-off deals in today’s net lease market.
This is a rare chance to secure long-term leased assets from a globally recognized QSR brand in freestanding locations priced well below replacement costs. The portfolio boasts a 30+ year operating history, highlighting deeprooted community presence and customer loyalty. Strategically situated on main and main in smaller, stable towns these Subway locations face limited competition and are widely regarded as a go-to dining destination in their respective communities.
The portfolio demonstrates strong financial performance, outperforming Subway’s system-wide sales average with low rent levels (less than 8% rent-to-sales). Additionally, all six locations have been remodeled within the past three years, with over $1 million in capital investment—positioning the stores for continued success and operational stability.
The portfolio is supported by a committed and hands-on operator that brings 15+ years of experience underwriting various businesses through prior investments and private equity roles, Subway Corporate (acquired by Roark Capital in 2023 for $9.6 billion), and managers (store and area) that have 20+ years of experience running these locations.
This offering also presents a compelling arbitrage opportunity—allowing investors to acquire a diversified, income-generating portfolio at an attractive basis, relative to the pricing of one-off deals in today’s net lease market.
PROPERTY FACTS
| Price | $3,800,000 |
| Price / SF | $302.28 / SF |
| Cap Rate | 7.75% |
| Sale Type | Investment NNN |
| Status | Active |
| Number of Properties | 6 |
| Individually For Sale | 0 |
| Total Building Size | 12,571 SF |
| Total Land Area | 2.36 AC |
PROPERTIES
| PROPERTY NAME / ADDRESS | PROPERTY TYPE | SIZE | YEAR BUILT | INDIVIDUAL PRICE |
|---|---|---|---|---|
|
Subway
104 Pittsfield Rd, Mount Sterling, IL 62353 |
Retail | 1,731 SF | - | - |
|
Subway
445 E Linn St, Canton, IL 61520 |
Retail | 1,997 SF | - | - |
|
Subway
915 W Garfield Ave, Peoria, IL 61607 |
Retail | 3,530 SF | - | - |
|
Subway
91 Plaza dr, Beardstown, IL 62618 |
Retail | 1,568 SF | 2024 | - |
|
Subway
607 Schrader ave, Havana, IL 62644 |
Retail | 1,978 SF | 2023 | - |
|
Subway
506 S Adams St, Manito, IL 61546 |
Retail | 1,767 SF | 2023 | - |
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