Krispy Kreme - Kingsport, TN

Financials / Metrics

• $2,927,000
• Next 10% Rent Increase 9/2024
• Cap Rate:
  • 65% current
  • 22% (as of 9/2024)
  • 84% (as of 9/2029)
  • 45% Avg. Over Initial Term
• 2,464 sq ft.
• Rent Increases: 10% every 5 years
• Extremely Strong Sales
• Healthy Rent to Sales Ratio
• Year Built: 2014

Lease Facts

• Lease term 11.2 Years
• Absolute NNN Lease
• Corporate Lease Guaranty

Concept & Tenant Overview

• Upward trending concept > recession & E-commerce proof
• Krispy Kreme
  • Publicly Traded: NASDAQ: DNUT
  • HQ: Charlotte, NC
  • Founded in 1937
  • 1,400 Locations in 31 Countries
  • 23,000+ employees

Location Drivers

• Class A Location Ideally Situated in the Epicenter of the Retail Corridor
• 28,000 ADT
• Ideally Positioned at Signalized Intersection
• Shopping Center Outparcel
• Excellent Ingress / Egress with multiple Access Points
• Numerous Cross Easements linking to numerous adjacent shopping centers & retailers
• Ideally located in center of retail / shopping corridor
  • Across street from McDonald’s
  • Surrounded by abundance of major national retailers within ¼ mile including Kroger, Hobby Lobby, Ross, PetSmart, TJ Maxx, Five Below, Olive Garden, Chili’s, Buffalo Wild Wings, Longhorn Steakhouse & Cheddar’s
• Located on Lee Highway, the Main E / W business & commuter artery
• Excellent Sightline, Visibility, Exposure & Signage
• Closest same concept unit over 26 miles
• Less than 1 Mile from Dobyns Bennett High School with over 2,000 students, faculty & staff
• Located at Main Entrance to & ¼ mile from 239 Bed Indian Path Community Hospital
  • Numerous large Medical Faculties positioned adjacent to Hospital Including:
    • Ballad Health Cancer Care
    • Ballad Health Pediatric Clinic
    • Center for Health Aging
    • Pain Medicine Associates
    • Brookside Medical Group

Location / Area Facts

• Solid Population Density with 36,973 within 3 miles
• Eastman Corporation Headquarters (2 miles from subject property)
  • NYSE symbol: EMN
  • Global Specialty Materials Company
  • Over 14,000 employees in over 100 countries
  • Approximately 7,000 employees are located at the headquarters in Kingsport
  • The region’s largest employer
  • Invested billions of dollars into its headquartered site
  • Voted Top Ten Best Specialty Chemicals Companies in USA 2023
• Positive Population migration within 1, 3 & 5 mile radius’

Location / Maps

• Kingsport is a part of the Mountain Empire, which encompasses a section of southwest Virginia and the mountainous counties in northeastern Tennessee with a total population of 508,260
• The Kingsport-Bristol metropolitan area has a population of 307,614
• Kingsport is largest city in the area with 55,442 residents