Starbucks | 3027 Covington Pike
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Starbucks 3027 Covington Pike
2,234 SF Retail Building Memphis, TN 38128 £2,445,900 (£1,095/SF) 6% Net Initial Yield
Investment Highlights
- New 10.5-year corporate NN+ lease to Starbucks Corporation (NASDAQ: “SBUX”)
- Rare 1.5% annual rental increases in initial term and option periods
- Per Statista, customers go to Starbucks six times per week on average
- Investment-grade tenant, rated “BBB+” by Standard & Poor’s
- Starbucks is the world’s premier coffee company, with over 38,038 locations and $35.9 billion in annual revenue
- Approximately 60 million Starbucks customers are served every week, while approximately four million coffee-based beverages are sold daily
Executive Summary
This Starbucks is excellently positioned as an outparcel to Home Depot at an infill location, greatly improving the visibility of the site to passing traffic. In addition, the site has direct access to Covington Pike and Stage Road, two of the main thoroughfares in the area, benefiting from over 42,799 vehicles per day collectively.
With its strategic placement and access to prominent attractions, this Starbucks promises sustained success as a focal point for community engagement and exceptional coffee experiences, making it an ideal acquisition for investors keen on tapping into Memphis’s dynamic cultural scene.
The site is located in a retail-dense corridor surrounded by many other top national tenants. Both Covington Pike and Stage Road closely connect Starbucks to retailers such as The Home Depot, McDonald’s, Kroger, Mattress Firm, Marshalls, Burlington, Taco Bell, Walgreens, Sherwin-Williams, Caliber Collision, and others.
The surrounding area is home to many community hubs that will drive traffic to Starbucks such as Bartlett High School (2,839 students), Craigmont High School (702 students), Craigmont Middle School (555 students), Methodist North Hospital (246 beds), and Douglass High School (546 students).
Located near the heart of Memphis, Tennessee, this Starbucks retail property offers an exceptional investment opportunity. Surrounded by renowned tourist attractions like Graceland, Beale Street, and Sun Studio, the property benefits from a constant flow of visitors seeking quality coffee and refreshments. With its prime location and strong tourist traffic, this Starbucks presents a lucrative opportunity to capitalize on Memphis’s vibrant tourism industry.
With its strategic placement and access to prominent attractions, this Starbucks promises sustained success as a focal point for community engagement and exceptional coffee experiences, making it an ideal acquisition for investors keen on tapping into Memphis’s dynamic cultural scene.
The site is located in a retail-dense corridor surrounded by many other top national tenants. Both Covington Pike and Stage Road closely connect Starbucks to retailers such as The Home Depot, McDonald’s, Kroger, Mattress Firm, Marshalls, Burlington, Taco Bell, Walgreens, Sherwin-Williams, Caliber Collision, and others.
The surrounding area is home to many community hubs that will drive traffic to Starbucks such as Bartlett High School (2,839 students), Craigmont High School (702 students), Craigmont Middle School (555 students), Methodist North Hospital (246 beds), and Douglass High School (546 students).
Located near the heart of Memphis, Tennessee, this Starbucks retail property offers an exceptional investment opportunity. Surrounded by renowned tourist attractions like Graceland, Beale Street, and Sun Studio, the property benefits from a constant flow of visitors seeking quality coffee and refreshments. With its prime location and strong tourist traffic, this Starbucks presents a lucrative opportunity to capitalize on Memphis’s vibrant tourism industry.
Property Facts
Sale Type
Investment NNN
Sale Condition
1031 Exchange
Property Type
Retail
Property Subtype
Building Size
2,234 SF
Building Class
B
Year Built
2024
Price
£2,445,900
Price Per SF
£1,095
Net Initial Yield
6%
NOI
£146,754
Tenancy
Single
Number of Floors
1
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Starbucks | 3027 Covington Pike
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