Starbucks | Near Highlands, NC

Investment Highlights

SHADOW ANCHORED BY THE CLOSEST WALMART TO HIGHLANDS, NC
• Starbucks is shadow anchored by the only Walmart within 21 miles and is the closest Walmart to Highlands.
• Due to the topography of the region, there are difficult barriers to entry to overcome, making it nearly impossible to build another Walmart Supercenter in town.
• This Starbucks is the only freestanding Starbucks in Franklin and is the closest freestanding Starbucks servicing Highlands, NC.
• Unlike the other two Starbucks in Franklin, both of which are inside of Ingles, this location will be a stand-alone building with an indoor dining area and a drive-thru.
• Part of a shopping center with excellent visibility at a signalized intersection on Highway 23 (25,000 VPD). The Tenants in the center include ALDI, Chick-Fil-A, & Aspen Dental.
• Other nearby national retailers include Lowe’s Home Improvement, Food Lion, Harbor Freight Tools, and more.

HIGHLANDS, NC | ATTRACTS 6 MILLION TOURIST PER YEAR
• Franklin, NC is only 30 minutes away from Highlands and acts as a national retail hub for residents & visitors of Highlands.
• Due to its close proximity to major cities like Atlanta, Nashville, Charlotte, Greenville, and Charleston - Highlands is an extremely popular travel & leisure destination in the southeast and attracts over 6 million visitors annually.
• Widely known as a summer retreat to escape the humidity, Highlands is filled with residents and visitors who come to enjoy year-round hiking, waterfall spotting, art, music, and top-tier dining and hospitality destinations
• Tourism accounts for a substantial percentage of jobs in Highlands, with estimates suggesting it supports around 25-30% of local employment, primarily in hospitality and retail.
• The unemployment rate in Highlands is 3.25%, well below the national average of 6% and future job growth over the next few years is predicted to be over 30%.

BRAND NEW 10 YEAR STARBUCKS WITH 10% RENT INCREASES
• This new 2,500 SF Starbucks with a drive thru is currently under construction and scheduled to open in January 2025.
• There is a new 10 year corporate lease with 10% rent increases every 5 years in the initial term and six, 5-year option periods.
• The Tenant is responsible for common area expenses, taxes, insurance, HVAC, and all maintenance & repairs that are not the responsibility of the landlord.
• There are limited landlord responsibilities which only include roof and structure.

INVESTMENT GRADE TENANT (S&P: “BBB+”) | 38,000 LOCATIONS
• Starbucks has a S&P Investment Grade Credit Rating of “BBB+” and is Ranked #120 on the Fortune 500 List.
• Starbucks is the world’s premier coffee company with over 38,000 locations and $32.3 billion in annual revenue and is ranked #1 in the Food Services Industry by Fortune in 2023.
• Approximately 60 million Starbucks customers are served weekly and around 4 million coffee based beverages are sold daily.
• Starbucks was founded in 1971 and is based in Seattle, WA.