Offering Memorandum:
KFC/Taco Bell located at 110 Collins St, Eaton CO 80615
Exclusively Listed By:
Dwight Kay - Founder
KPI Brokers, Inc
Direct: (310) 404-7297
Fax: (310) 984-8791
dkay@kpibrokers.com
www.kpibrokers.com
License # 01838618
In Cooperation With
Colorado Licensee:
Rob Edwards
License # 40032759
Table of Contents
Notices and Disclaimers: 3
The Opportunity: 4-5
Financial Overview: 6
Property Photos: 7-8
Floor Plan: 9
Market and Submarket Overview: 10
Surrounding Retail Photos: 11-14
Location Map: 15
Satellite Imagery: 16-17
About Yum! Brands: 18
Investment Drivers: 19
Notices and Disclaimers: 20
2
Notices and Disclaimers
This document contains information that has been obtained from sources believed to be reliable. However, KPI Brokers, Inc. and its agents/
brokers do not guarantee the accuracy and validity of the information herein. Buyers/Investors/Exchangers/Brokers/
Agents should perform their own investigations before considering any purchase/exchange/investment.
There are material risks associated with purchasing/investing in/exchanging real estate.
These include, but are not limited to, tenant vacancies, potential loss of investment principal, that past performance is not a guarantee of future
results, that potential cash flow, potential returns and potential appreciation are not guaranteed in any way and that real
estate is typically an illiquid investment.
IRC Section 1031 and IRC Section 1033 are complex tax codes therefore you should consult your tax or legal professional
for details regarding your particular situation. This material is not intended as tax or legal advice. All buyers and exchangers are encouraged to
speak with their own tax and legal advisors for details regarding their particular situation. This material does not constitute an offer to sell nor a
solicitation of an offer to buy any security.
The information included in this document is provided only as an introduction to the property. All parties interested in purchasing should base their
final decision on the results of their own independent inspection of the property. All parties should satisfy themselves as to the compliance of the
property to all governing bodies pertaining to the legal, environmental or physical conditions of the title or property. All financial data provided is
given for informational purposes only and is not guaranteed.
All parties should perform their own market feasibility study to determine the soundness of the financial data provided. The Broker/
Owner makes no representations as to the accuracy or completeness of the information included in this document. This information is believed to
be accurate however; we are not responsible for misstatements of facts, errors or omissions, prior sale, changes of price or withdrawal from the
market without notice.
The following information is furnished solely for the purpose of a review by a prospective purchaser of the property and is not to be used for any
other purpose or made available to any other person without prior written consent. This document and its contents are of a confidential nature and
shall be held and treated in the strictest confidence. No portion of this offering memorandum may be copied or otherwise
reproduced or disclosed without prior written authorization.
© 2012 KPI Brokers, Inc
3
The Opportunity: KFC/Taco Bell, Eaton, CO
•  New 2007 Construction – Superior quality asset with no deferred maintenance
•  Management Free - Absolute NNN Lease – Tenant responsible for all maintenance (including roof and structure),
taxes, insurance, etc
•  Long term lease - 18 years remaining on primary lease term
•  Experienced multi unit operator Yum! Brands Franchisee
•  Located on the best corner in Eaton, CO
•  Excellent location just one hour outside of Denver, CO
4
The Opportunity: KFC/Taco Bell, Eaton, CO
•
•
•
•
•
Fee Simple Ownership
Offered at an attractive 7% Capitalization Rate
Historically low interest rates allow for attractive double digit Cash on Cash Return potential to buyer
Perfect 1031 Exchange and/or 1033 Exchange replacement property opportunity
A true “coupon clipper” for the investor looking for strong cash flow in today’s
low interest rate environment
•  Inflation protection potential due to tenants responsibility for all increases in maintenance costs, taxes and insurance
premiums as well as the inflation protection due to the intrinsic value of the land and building
5
Financial Overview:
Taco Bell/KFC
Location:110 Collins St, Eaton, CO 80615
Price: $2,400,000
Base Rent: $61.27/SF
Monthly Rent: $14,000
Landlord Expenses: $0.00
Net Operating Income: $168,000
Cap Rate: 7%
Year Built: 2007
Lease: Absolute NNN
Lease Commencement: February 2010
Lease Term Remaining: 18 years (expires 2030)
Tenant: Experienced multi unit operator Yum! Brands franchisee
Expenses: True Absolute NNN Lease - Tenant responsible for all
roof, structure, utilities, property taxes, property insurance and
common area maintenance expenses.
Net Rentable Area: 2,742 Sq Ft
Land Area: 37,462 Sq Ft
Ownership Type: Fee Simple
Parcel Number: 080306222001
Subdivision: Maplewood Estates Pud 04 Rep
6
Property Photos
7
Property Photos (Cont’d)
8
Floor Plan
9
Market and Submarket Overview
Eaton is a Statutory Town in Weld County, Colorado, United States. The population was 4,500 as of 2009.
Eaton, Colorado is a rural community located 60 miles northeast of Denver. Eaton was selected as one of the
“Top 50 Small Towns in America”. The Town of Eaton is one of Colorado’s finest community’s boasting
spectacular views of the Rocky Mountains. The town is well-managed and it has as an excellent location.
Eaton’s top industries are Agriculture, Manufacturing and Government. The workforce area for the town
covers Weld and Larimer Counties. Several higher education institutions are embedded throughout the
area. The population centers of Eaton, Greeley, Fort Collins, Loveland, Windsor and Cheyenne provide a well
educated workforce to the business community. Eaton is conveniently located approximately 1 hour from
Denver, 30 minutes from Loveland, 25 minutes from Fort Collins and 7 minutes from Greely. Eaton boasts
transportation access to US Hwy 85, US Hwy 34, I-25, I-80 and I-76.
Sources:
www.eatondevelopment.org
www.wikipedia.org
10
Surrounding Retail Photos
11
Surrounding Retail Photos
12
Surrounding Retail Photos
13
Surrounding Retail Photos
14
Location Map
15
Satellite Imagery
16
Satellite Imagery
17
About Yum! Brands:
YUM! Brands, Inc., (NYSE: YUM), based in Louisville, KY, is the world’s largest restaurant company in terms of
system restaurants with nearly 38,000 restaurants in over 110 countries and territories and more than 1 million
associates. Yum! Is ranked #214 on the Fortune 500 List and generated more than $11 billion in revenue in 2010.
The Company’s brands – KFC, Pizza Hut and Taco Bill – are the global leaders of the chicken, pizza and Mexicanstyle food categories.
The YUM! System includes three operating segments: U.S., International (YUM! Restaurants International) and
China Division. Outside the United States in 2010, the YUM! System opened approximately four new restaurants
each day of the year, making it a leader in international retail development. Results for 2010 once again affirmed the
company’s consistent record of success with 17% Earnings Per Share (EPS) growth, which marks the ninth straight
year the company delivered at least 13% growth and exceeded its 10% EPS growth target. For the full year 2010,
YUM! Brands opened nearly 1,400 new restaurants outside the U.S.
For the fiscal year 2010, the company reported total revenue of $11.34 billion, with net income of $1.16 billion and total
equity of $1.58 billion. (YUM! Brands, Inc. is not on the lease nor do they guarantee the leases of its franchisees.)
Source: www.yum.com, Yahoo Finance, www.wikipedia.org
18
Investment Drivers
•  Double digit cash on cash return potential for the buyer as a result of historically low interest rates
•  Stable and well recognized national fast food concepts
•  Long term 18 year absolute NNN lease with no landlord responsibilities. A true “coupon clipper” for the
investor wanting absolutely no hands on management and maintenance responsibilities. The tenant is even
responsible for the roof and structure pursuant to the lease.
•  Located on one of the best corners in the town of Eaton
•  Experienced multi unit operator Yum! Brands franchisee
•  Western US NNN Leased Asset
•  Recession Resistant Business Model: Even during a recession consumers will continue to eat at fast food
establishments as the cost of a meal at KFC/Taco Bell is often less expensive than even buying food at the
grocery store.
•  Newer 2007 construction
19
KFC/Taco Bell located at 110 Collins St, Eaton CO 80615
For More Information Please Contact:
Dwight Kay - Founder
KPI Brokers, Inc
Direct: (310) 404-7297
Fax: (310) 984-8791
dkay@kpibrokers.com
www.kpibrokers.com
License # 01838618
In Cooperation With
Colorado Licensee:
Rob Edwards
License # 40032759
Notices and Disclaimers
This document contains information that has been obtained from sources believed to be reliable. However, KPI Brokers, Inc. and its agents/
brokers do not guarantee the accuracy and validity of the information herein. Buyers/Investors/Exchangers/Brokers/
Agents should perform their own investigations before considering any purchase/exchange/investment.
There are material risks associated with purchasing/investing in/
exchanging real estate. These include, but are not limited to, tenant vacancies, potential loss of investment principal, that past performance is not a
guarantee of future results, that potential cash flow, potential returns and potential appreciation are not guaranteed in any way and that real
estate is typically an illiquid investment.
IRC Section 1031 and IRC Section 1033 are complex tax codes therefore you should consult your tax or legal professional
for details regarding your particular situation. This material is not intended as tax or legal advice. All buyers and exchangers are encouraged to
speak with their own tax and legal advisors for details regarding their particular situation. This material does not constitute an offer to sell nor a
solicitation of an offer to buy any security.
The information included in this document is provided only as an introduction to the property. All parties interested in purchasing should base their
final decision on the results of their own independent inspection of the property. All parties should satisfy themselves as to the compliance of the
property to all governing bodies pertaining to the legal, environmental or physical conditions of the title or property. All financial data provided is
given for informational purposes only and is not guaranteed.
All parties should perform their own market feasibility study to determine the soundness of the financial data provided. The Broker/
Owner makes no representations as to the accuracy or completeness of the information included in this document. This information is believed to
be accurate however; we are not responsible for misstatements of facts, errors or omissions, prior sale, changes of price or withdrawal from the
market without notice.
The following information is furnished solely for the purpose of a review by a prospective purchaser of the property and is not to be used for any oth
er purpose or made available to any other person without prior written consent. This document and its contents are of a confidential nature and shal
l be held and treated in the strictest confidence. No portion of this profile may be copied or otherwise reproduced or disclosed without prior written
authorization.
© 2012 KPI Brokers, Inc
21