Popeyes Marysville

Property Overview

Located at 11533 38th Drive NE in Marysville, WA, this 2,695 SF single-tenant Popeyes Louisiana Kitchen was built in 2018 and features a drive-thru. The property is leased on an absolute net basis with a 20-year primary term, 10% rental increases every five years, and five 5-year options. The site sits at a lighted intersection just off Interstate 5, adjacent to a 300,000 SF neighborhood retail center and surrounded by national tenants including WinCo Foods, Kohl's, Ross, Starbucks, and PetSmart.

Challenge

Our team was engaged by the developer to market and sell a new construction Popeyes Louisiana Kitchen as part of a multi-parcel retail development in Marysville, WA. The assignment required identifying a buyer for a property still under construction, with lease commencement estimated for April 25, 2018, and coordinating the sale alongside the disposition of the other parcels within the same development. Each site needed to be sold separately to different buyers, adding complexity to the overall process.

Action

We brought the property to market as an on-market offering through Kidder Mathews, targeting investors seeking long-term, passive net-leased assets. The marketing emphasized the property's 20-year absolute net lease structure, contracted rental increases, and its position within a high-traffic retail corridor with strong co-tenancy. Given that the buyer was completing a 1031 exchange, we coordinated the transaction timeline to align with the exchange requirements while managing the broader multi-parcel disposition on behalf of the developer.

Result

• Sale price of $2,975,000, or $1,104 per SF, against an asking price of $3,000,000
• Successfully matched the property with a 1031 exchange buyer, supporting their exchange timeline
• Completed the sale as one component of a multi-parcel retail development disposition, with each parcel sold separately to a distinct buyer