Applebee's Ground-Leased
For Sale
Contact for pricing
874 S State Rd 135, Greenwood, IN 46142
Applebee's ground lease runs through May 31, 2029, with the property leased to Flynn Group.
Property Size5,058 SF
Price / SF$369.71
Days on Market196
Property Features for 874 S State Rd 135
General Information
Standard status
Active
Size
5,058 SF
Property subtype
LAND
Listing Agency:
SVN Wilson Commercial
(614) 944-5140
Listed By:
Chuck Ciolino, CCIM
(513) 720-1000
Source:
Moodyscre
Added: Mar 2
Changed: Sep 8
Last Checked: Sep 14 at 12:24PM
Displayed information is deemed reliable but is not guaranteed and should be independently verified. All listing content including descriptions, pricing, images are the copyrighted material of SVN Wilson Commercial
Investment Insights
Based on property information with market context.
This Applebee’s restaurant is offered as a ground-leased asset. The lease commenced on June 1, 2004 and expires on May 31, 2029. The property is leased to Flynn Group, described in the remarks as the world’s largest franchise operator.
The site is positioned in the heart of Greenwood’s core retail and restaurant corridor with excellent visibility and accessibility on State Road 135. The surrounding blue-chip retail area is anchored by Home Depot, Walmart, Super Target, Meijer, and Menards.
The provided information also notes high household incomes and proximity to a Facebook data center currently under construction.
The site is positioned in the heart of Greenwood’s core retail and restaurant corridor with excellent visibility and accessibility on State Road 135. The surrounding blue-chip retail area is anchored by Home Depot, Walmart, Super Target, Meijer, and Menards.
The provided information also notes high household incomes and proximity to a Facebook data center currently under construction.
Key Highlights
- Applebee's ground lease commenced 6/1/04 and expires 5/31/29
- Property leased to Flynn Group, the world's largest franchise operator
- Located on State Road 135 with visibility and accessibility
Financial Insights
Estimated NOI and Cap Rate
NOI = area × lease_rate × (100 − vacancy) / 100 × (1 − expense_ratio). Net Operating Income — what the owner takes home each year before mortgage payments and income tax. Effective rent (asking rent minus vacancy losses) minus operating costs (taxes, insurance, maintenance, management).
NOI / Yr
$61,280
Cap rate = NOI / list price × 100. Capitalization rate — annual return on a fully cash purchase, before financing. NOI divided by price. Higher means more income per dollar invested, but usually also more risk or older condition. 5–8% is typical for stabilized commercial property; double digits often signal distressed deals.
Cap Rate
3.28%
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$1,225,600
$1.2M
Cap Rate 7%
$875,429
$875.4K
Cap Rate 9%
$680,889
$680.9K
Market Conditions
NOI Build-Up for 5,058 SF
Vacancy — income lost from leasable area expected to sit empty during the year, subtracted from gross rent.
EGI (Effective Gross Income) — gross rent minus vacancy losses, the realistic income before paying operating costs.
OpEx (Operating Expenses) — recurring costs to operate the property (property tax, insurance, utilities, maintenance, management); excludes financing and capital improvements.
NOI (Net Operating Income) — income a property generates after operating costs but before financing and taxes.
Gross rent
$86.2K $17.04/SF
− Vacancy
−$4.5K −$0.89/SF
EGI
$81.7K $16.15/SF
− OpEx
−$20.4K −$4.04/SF
NOI
$61.3K $12.12/SF
Area
Johnson County, IN
Vacancy
5.20%
Lease Rate
$17.04 /SF/Yr
Expense Ratio
25.00%
Simulate Cap Rate and NOI
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$1,225,600
Cap Rate 7%
$875,429
Cap Rate 9%
$680,889
Alternative Uses
Best Use
Specialty Retail
$875.4K
$766.0K – $1.02M
NOI $61,280 @ 7.0% cap · market cap 3.28%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$1.27M
$1.12M – $1.49M
NOI $89,223 @ 7.0% cap · market cap 4.77%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Open Analytics
Current Use
Location Intelligence
Trade Area within ½ mile
524
Businesses Nearby
102k
Monthly Visits Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Dining 58%
Shops & Services 37%
Beauty & Spa 4%
Home Improvements & Furnishings 1%
Crew Carwash
Shops & Services
24,393 visits/mo
0.5 miles
McAlister's Deli
Dining
13,656 visits/mo
0.3 miles
7 Brew Coffee
Dining
13,602 visits/mo
0.3 miles
Starbucks
Dining
9,323 visits/mo
0.3 miles
PNC Bank
Shops & Services
7,744 visits/mo
0.5 miles
Demographics for 46142, IN
32,052
Population
14,396
Households
2.2
Avg Household Size
40
Median Age
39%
College-Educated
94%
High-School Grad
14.9 sq mi
ZIP Area
2,151
Density / Sq Mi
$85,611
Median Household Income
$47,831
Median Earnings
$1,122
Median Rent
$266,000
Median Home Value
Check the figures for this property
Cap Rate, Value Estimation, Potential NOI and more
View Realmo Analytics
Market
Vacancy Rate% for Retail in Midwest region
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Frequently Asked Questions
What type of property is this?
Conventional restaurant - Applebee's ground lease runs through May 31, 2029, with the property leased to Flynn Group.
Where is this conventional restaurant located?
The property is located at 874 S State Rd 135 Greenwood, IN.
What is the asking price?
The asking price for this property is $1,870,000.
What are key features of this property?
This property features: Applebee's ground lease commenced 6/1/04 and expires 5/31/29; Property leased to Flynn Group, the world's largest franchise operator; Located on State Road 135 with visibility and accessibility
