Dutch Bros Ground Lease 350 Westgate dr

Investment Highlights

New 15-year absolute NNN ground lease with a strong corporate guaranty Only Dutch Bros location within an 18-mile radius, providing limited competition High-quality 2023 construction featuring a dedicated dual-lane drive-thru, providing additional customer Dutch Bros (NYSE: ?BROS?) recently went public ? now valued at over $5.6 billion Outparcel to an H-E-B store and H-E-B Weslaco Retail Support Center, a major employer in Weslaco Hard corner location on North Westgate Drive with excellent visibility and access to 18,830 vehicles per day at the signalized intersection

Executive Summary

Dutch Bros is located prominently on a hard corner signalized intersection with excellent visibility and access to 18,830 vehicles per day on North Westgate Drive. The site maintains beneficial proximity to US Highway 83 Business (17,600 AADT) and Interstate 2 (106,575 AADT), increasing traffic significantly in the surrounded area. The property is an outparcel to an H-E-B store and H-E-B Weslaco Retail Support Center, a major employer in Weslaco. Ideally located in a strong retail corridor, the site is situated near major national brands such as The Home Depot, Office Depot, Walgreens, Planet Fitness, Chick-fil-A, Raising Cane?s, and many others. The property is within walking distance to Weslaco High School (2,430 students) and South Texas College ? Mid Valley Campus (28,000 total students, 214 employees), an ideal nearby customer base. The site is situated 2.5 miles from Knapp Medical Center (227 beds, 900 employees) and Weslaco Regional Rehabilitation Hospital. The property is well-positioned in a growing border city and immediately surrounded by single-family housing developments and apartment complexes. The site is less than a mile from Weslaco Hills Apartments (120 units) and Keystone Apartments (136 units). 104,325 residents reside within five miles of the property (a 12 percent growth since 2010). The average household income is $67,709 within a one-mile radius and is projected to increase 18 percent by 2027, poising Dutch Bros and Weslaco for significant concurrent growth. The location provides access to purchasing power from the Reynosa-McAllen metroplex (population 1.5 million), the South Texas region, and affluent northern Mexican markets.

• Sale Type    Investment
• Sale Conditions    1031 Exchange 1031 Exchange Ground Lease (Leased Fee) 1031 Exchange
• Property Type    Retail
• Property Subtype    Fast Food Fast Food General Retail Freestanding General Retail Restaurant General Retail Storefront Fast Food
• Building Size    950
• Year Built    2023
• Price    1,510,000
• Price Per SF    1,589
• Cap Rate    5.50
• NOI    83,000
• Tenancy    Single
• Building Height    1 Story
• Building FAR    0.02
• Land Acres    1.27 AC