Net Lease Investment Offering
Burger King 899 Carpenter Road Milton, PA 17847 Burger King | Milton, PA Table of Contents
TABLE OF CONTENTS
Offering Summary Executive Summary ...... 1 Investment Highlights ...... 2 Property Overview ...... 3
Location Overview Photographs ...... 4 Location Aerial ...... 5 Site Plan ...... 6 Location Map ...... 7
Market Overview Demographics ...... 8 Market Overview ...... 9
Tenant Summary Tenant Profile ...... 10
www.bouldergroup.com | Confidential Offering Memorandum Burger King | Milton, PA Executive Summary
EXECUTIVE SUMMARY
The Boulder Group is pleased to exclusively market for sale a single tenant net leased Burger King property located in Milton, Pennsylvania. Burger King has over 17 years remaining on the primary lease term. The lease features 2% annual rental escala- tions beginning April 2026 and continuing through the end of the primary term. The lease is absolute triple net with zero landlord responsibilities.
The 2,990 square foot property is positioned just off of Mahoning Street and within close proximity to Susquehanna Trail (16,200+ VPD). The Burger King is located on an outparcel to Tractor Supply Company, Farmhouse Market, and Cumberland Truck Parts. Other tenants occupying the area include NAPA Auto Parts, Milton Nursing & Rehabilitation, and Weis Markets & Pharmacy. There are 68,791 people living within ten miles of the property with an average annual household income of $72,444. Serving the local population, Milton High School is less than two miles from the Burger King Property.
The tenant, GDK Development, Inc., is located in Shamokin, PA and is part of the Fast-Food & Quick-Service Restaurants Industry. GDK Development, Inc. has 300 total employees across all of its 11 locations. Founded in 1954, Burger King is the second largest fast food hamburger chain in the world. The original Home of the Whopper, Burger King is commitment to premium ingredients, signature recipes, and family-friendly dining experiences which is what has defined their brand for more than 50 successful years. Every day, more than 11 million guests visit Burger King restaurants around the world.
| 1 | www.bouldergroup.com | Confidential Offering Memorandum Burger King | Milton, PA Investment Highlights
INVESTMENT HIGHLIGHTS
■ Over 17 years remaining on the primary lease term
■ 2% rental escalations beginning April 2026
■ 2018 construction
■ Absolute NNN – zero landlord responsibilities
■ Outparcel to Tractor Supply Company, Farmhouse Market, and Cumberland Truck Parts
■ Other tenants occupying the area include NAPA Auto Parts, Milton Nursing & Rehabilitation, and Weis Markets & Pharmacy
■ There are 68,791 people living within ten miles of the property with an average annual household income of $72,444
■ Serving the local population, Milton High School is less than two miles from the Burger King Property
| 2 | www.bouldergroup.com | Confidential Offering Memorandum Burger King | Milton, PA Property Overview
PROPERTY OVERVIEW
Price: $2,500,000
Cap Rate: 5.50%
Net Operating Income: $137,503
Lease Term: 20-year
Lease Expiration Date: 4/24/2038
Renewal Options: One 5-year & One 4-year, 11 month
Rental Eslalations: 1-8: $137,503 16: $161,107 9: $140,253 17: $164,329 10: $143,058 18: $167,615 11: $145,919 19: $170,968 12: $148,838 20: $174,387 13: $151,814 Option 1: $180,000 14: $154,851 Option 2: $185,000 15: $157,948
Tenant: GDK Development, Inc.
Year Built: 2018
Lease Type: NNN – Zero landlord responsibilities
Building Size: 2,990 SF
Lot Size: 1.24 AC
| 3 | www.bouldergroup.com | Confidential Offering Memorandum Burger King | Milton, PA Photographs
| 4 | www.bouldergroup.com | Confidential Offering Memorandum Burger King | Milton, PA Location Aerial
| 5 | www.bouldergroup.com | Confidential Offering Memorandum Burger King | Milton, PA Site Plan
| 6 | www.bouldergroup.com | Confidential Offering Memorandum Burger King | Milton, PA Location Map
Milton
| 7 | www.bouldergroup.com | Confidential Offering Memorandum Burger King | Milton, PA Demographics
DEMOGRAPHICS Population Income
3-Mile 5-Mile 7-Mile 3-Mile 5-Mile 7-Mile
Total Population: 11,276 26,932 68,791 Median Household Income: $50,059 $51,124 $55,395
Total Households: 4,843 10,171 23,036 Average Household Income: $61,303 $65,130 $72,444
| 8 | www.bouldergroup.com | Confidential Offering Memorandum Burger King | Milton, PA Market Overview
Borough of Milton, Pennsylvania
Milton is a borough in Northumberland County, Pennsylvania, on the West Branch Susquehanna River, 50 miles (80 km) north of Harrisburg, located in Central Pennsylvania’s Susquehanna River Valley. It is about 10 miles upriver from the mouth of the West Branch Susquehanna River and about 30 miles downriver of Williamsport.
Milton’s development as an industrial power relied on its proximity to forests and waterways. Andrew Straub, who founded the town in 1791, was a millwright and miller. Other industries, including a tannery, lumber and grist mills, carriage works, and a flynet factory developed in the early 1800s. Abundant streams and the Susquehanna River provided energy for factories and a means to move goods. The West Branch Canal, opened in 1830, provided even greater access to markets. Trains replaced canal boats, and Milton became a transportation hub for the Reading and Pennsylvania Railroads and home to steel and knitting mills. It is also home to ACF Industries that built the world’s first railroad tank car. “Chef Boy-Ar-Dee,” Hector Boiardi, started manufacturing Italian style foods here in the 1930s; the company has expanded and continues operation today as ConAgra. Trucking replaced rail transportation and remains well represented in Milton today.
| 9 | www.bouldergroup.com | Confidential Offering Memorandum Burger King | Milton, PA Tenant Overview
Burger King
Burger King, often abbreviated as BK, is an American global chain of hamburger fast food restaurants headquartered in Miami, Florida. The company began in 1953 as Insta-Burger King, a Jacksonville, Florida-based restaurant chain. After Insta-Burger King ran into financial difficulties in 1954, its two Miami-based franchisees, David Edgerton and James McLamore, purchased the company and renamed it Burger King. Over the next half century, the company would change hands four times, with its third set of owners, a partnership of TPG Capital, Bain Capital, and Goldman Sachs Capital Partners, taking it public in 2002. In late 2010, 3G Capital of Brazil acquired a majority stake in BK in a deal valued at US$3.26 billion. The new owners promptly initiated a restructuring of the company to reverse its fortunes. 3G, along with partner Berkshire Hathaway, eventually merged the company with Canadian-based doughnut chain Tim Hortons under the auspices of a new Canadian-based parent company, Restaurant Brands International.
Restaurant Brands International Inc. (“RBI”) is one of the world’s largest quick service restaurant companies. RBI owns two of the world’s most prominent and iconic quick service restaurant brands – Tim Hortons and Burger King and expanded by the 2017 purchase of American fast food chain Popeyes Louisiana Kitchen. RBI company is the fifth-largest operator of fast food restaurants in the world behind Subway, McDonald’s, Starbucks and Yum! Brands (KFC, Pizza Hut, Taco Bell). RBI is a publicly traded company (NYSE: QSR).
GDK Development, Inc. is located in Shamokin, PA, United States and is part of the Fast-Food & Quick-Service Restaurants Industry. GDK Development, Inc. has 300 total employees across all of its 11 locations.
Company Website: www.bk.com Founded: 1953 Parent: TBC Corporation Number of Total Stores: 17,800+ Headquarters: Miami, FL Parent Company: Restaurant Brand International Inc. (NSYE: QSR)
| 10 | www.bouldergroup.com | Confidential Offering Memorandum CONFIDENTIALITY & DISCLAIMER The information contained in the following Offering Memorandum is proprietary and strictly confidential. It is intended to be reviewed only by the party receiving it from The Boulder Group and should not be made available to any other person or entity without the written consent of The Boulder Group.
This Offering Memorandum has been prepared to provide summary, unverified information to prospective purchasers, and to establish only a preliminary level of interest in the subject property. The information contained herein is not a substitute for a thorough due diligence investigation. The Boulder Group has not made any investigation, and makes no warranty or representation.
The information contained in this Offering Memorandum has been obtained from sources we believe to be reliable; however, The Boulder Group has not verified, and will not verify, any of the information contained herein, nor has The Boulder Group conducted any investigation regarding these matters and makes no warranty or representation whatsoever regarding the accuracy or completeness of the information provided. All potential buyers must take appropriate measures to verify all of the information set forth herein.
EXLUSIVELY LISTED BY: Randy Blankstein Jimmy Goodman The Boulder Group President Partner 3520 Lake Avenue, Suite 203 847-562-0003 847-562-8500 Wilmette, Illinois 60091 [email protected] [email protected] www.bouldergroup.com