220th Ave Reed City, MI 49677

Property Details for 220th Ave

Year built

2020

Lot size

1.60 lot acres

Property size

2,892 SF

Property type

Retail properties

Property subtype

Restaurants

Description

This exceptional investment opportunity presents a 2,892 square foot Taco Bell located in Reed City, Michigan, at the intersection of 220th Ave. & US 10-R25. Built in 2020, this property sits on a 1.6-acre lot and boasts a strong 6.10% cap rate with a Net Operating Income (NOI) of $142,870. The sale is structured as a 15-year sale-leaseback with an absolute NNN lease, meaning the tenant is responsible for all property expenses, including taxes, insurance, and maintenance, providing a passive income stream for the investor. The lease includes 10% rent increases every five years, offering inflation protection. The tenant, Bells and Birds, Inc., is an experienced Michigan-based operator with a 47-unit portfolio, demonstrating a strong commitment to the location. The property benefits from high visibility due to its strategic location near the US Hwy 131 off-ramp, a major travel artery in Western Michigan, and proximity to a high-performing Wesco gas station undergoing expansion. The area features affluent demographics, with an average household income exceeding $68,858 within a 5-mile radius and a population of over 5,600 residents. Furthermore, the property's proximity to Corewell Health Reed City Hospital ensures consistent traffic. The lease includes four, five-year options to extend, further solidifying the long-term investment potential. This is a rare opportunity to acquire a high-performing, low-maintenance, and passively managed investment property with significant upside potential. The property's APN is 13 008 001 30.

Location Insight

City

Reed City

County

Osceola

State

Michigan

Longitude

-85.5229

Latitude

43.8874