Purchase Price | $2,990,000 |
---|---|
Annual Rental Income | $149,500 |
Cap Rate | 5.00% |
Lease Term | 20 Years |
City | Houston MSA |
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Wendy’s – Absolute NNN Investment
Houston MSA | High-Growth Texas Market | Passive Income | Prime Drive‑Thru QSR Asset
This offering presents an exceptional opportunity to acquire a single-tenant Wendy’s property operating under a long-term absolute triple‑net (NNN) lease in the Houston Metropolitan Statistical Area (MSA)—the fourth-largest metro in the U.S. Situated on a high-traffic suburban retail corridor, this asset delivers zero landlord responsibilities, scheduled rent escalations, and stable passive income—backed by a nationally recognized quick-service restaurant (QSR) brand. With Houston’s diverse economy and sustained demographic growth, this Wendy’s location represents a high-quality addition for investors seeking long-term, low-maintenance income in a top-tier market.
Wendy’s is a top-tier national QSR brand, known for its signature square burgers, fresh-cut fries, and diverse menu that balances value and quality. With over 6,800 locations worldwide, Wendy’s has strong brand recognition and a proven operating model. Now known for efficient drive-thru systems, digital ordering, and delivery integration, Wendy’s remains relevant across demographic segments and retains high unit-level sales even in suburban and secondary markets—like those found throughout Houston’s sprawling MSA.
This property is structured on an absolute NNN lease, meaning Wendy’s assumes responsibility for all property-related expenses including real estate taxes, insurance, repairs, and routine maintenance. Additionally, scheduled rent escalations—typically implemented every five years—provide predictable income growth and act as a hedge against inflation, making this a compelling passive-income vehicle for investors.
This structure provides long-term cost predictability and reliable revenue growth, ideal for investors looking to build portfolios of low-risk, cash-generating properties in high-growth MSAs like Houston.
The Houston MSA, home to over 7.5 million residents, is one of the most economically dynamic and fastest-growing metro areas in the United States. Its economy is anchored by energy, aerospace, healthcare, logistics, and manufacturing. Key employers include ExxonMobil, Shell, Chevron, MD Anderson Cancer Center, Baylor College of Medicine, and the Port of Houston—one of the largest ports in North America.
With no state income tax, a pro-business environment, and a relatively low cost of living, Houston attracts residents from across the U.S. and internationally. Between 2020 and 2024, the greater Houston region added over 200,000 new residents, emphasizing ongoing growth trends that support QSR demand.
This Wendy’s is strategically positioned along a major suburban artery with average daily traffic counts often exceeding 35,000 vehicles. The dual-lane ingress and egress and strong signage visibility ensure excellent drive-thru performance—crucial for today’s convenience-driven consumers.
The site is part of a retail cluster featuring national co-tenants such as grocery chains, big-box stores, financial services, pharmacies, and fast-casual restaurants. With dense residential neighborhoods nearby—ranging from established subdivisions and new housing developments to master-planned communities—the location benefits from both commuter and local consumer foot traffic throughout the day and evening.
Within a 5-mile radius, this Wendy’s location serves:
Houston’s migration patterns—especially from higher-cost coastal metros—have strengthened its income base. Submarkets such as The Woodlands, Katy, Sugar Land, Pearland, and Cypress continue to outperform in new home permits and population influx, sustaining the demand for drive-thru QSR service.
This investment includes built-in escalations every five years, typically in the 6–10% range. These contractual increases provide income growth and shield returns from inflation, enhancing long-term yield.
As an absolute NNN asset, Wendy’s covers all expenses—taxes, insurance, structural and mechanical repairs—leaving investors with clean, predictable returns and no exposure to operating expense fluctuations or capital needs.
This Wendy’s net-lease offering in the Houston MSA represents a premier investment opportunity: long-term, predictable income; fully passive ownership; strong tenant credit; and a high-visibility drive-thru location in a high-growth Southeast market. The absolute NNN structure, rent escalations, and robust trade-area demographics combine to create a powerful investment foundation.
Whether executing a 1031 exchange, expanding a passive-income portfolio, or targeting strategic real estate allocation, this Wendy’s asset offers the perfect balance of yield, stability, and minimal oversight. Class-A QSR assets in Houston’s high-demand suburban corridors are rare—and this opportunity stands out in both quality and location.
Please contact us to request full investment materials, lease abstracts, demographic mapping, or underwriting details. Quality NNN QSR offerings like this Wendy’s are in limited supply and generate strong buyer interest.