Pizza Hut
Closed607 Northwest Main Street, Bunkie, LA 71322
Property type
Retail
Price
$892,504
Building size
2,496 sf
Rentable area
2,496 SF
Year built
2005
Year renovated
Occupancy
Zoning code
Lot size
0.34 Acres
Sold/status
Sold · Date unknown
Sale price
$892504
CAP
5.75%
Net Operating Income
$51,319
Property description
Franklin Street is pleased to present this Pizza Hut location in Bunkie, Louisiana. Bunkie was founded as a station terminus on the Texas and Pacific Railroad line. The Tunica-Biloxi Tribe operates Louisiana's first land-based casino, Paragon Casino Resort. It is the largest employer in Avoyelles Parish. Pizza Hut recently executed a new 15 year lease at this location showing their strong tenant commitment to this site. The tenant has a long operating history at this location since 2005. The property is located at the center of the town and pulls from a large trade area. Surrounding traffic generators include: Piggly Wiggly, McDonald's, Subway, Dollar General, Autozone, Bunkie High School, and Bunkie Elementary School. ADT Pizza, the franchisee, was formed in 2018 with the acquisition of 125 Pizza Hut locations across the East Coast. The previous franchisee had operated the locations for 20+ years. ADT Pizza current has 174+ locations and is looking to continue their store growth through acquisitions and new store development. The CEO, who has an MBA from Harvard, spent many years in the hospitality industry as an executive with Starwood Hotels. On October 29, Pizza Hut's parent company Yum! Brands (YUM) reported the chain's offsite sales had surged 17%-21% during the third quarter of 2020.
Property highlights
- 15-Year leased Pizza Hut in Louisiana
- ADT Pizza is a large growing franchisee - 174+ units
- 1.25% annual rental bumps throughout lease term
- Low rent to sales ratio: 8%
- 2021 remodel at tenant's expense; expected to cost $171k - strong commitment to site
- Pizza Hut plans to modernize and focus on carry-out and delivery business
- Pizza Hut hired 30,000 employees during COVID-19 crisis
- Tenant reported having 20% uptick in company sales during COVID-19 crisis
- Company and Unit level financials available upon CA