A private investor has purchased a fast-food restaurant leased by Wendy's in Memphis, Tennessee, for $2.7 million.
Located at 2180 Covington Pike, the property is fully leased under a new 20-year, absolute triple-net lease to Wendy’s, backed by Meritage Hospitality Group, which sold the building for approximately $959 per square foot. The lease includes annual CPI-based rent increases capped at 1.5% and six five-year renewal options.
The property, originally built in 1986, is undergoing a full remodel scheduled for completion in mid-2025. The restaurant is positioned as an outparcel to Sam’s Club and adjacent to McDonald’s.
Meritage Hospitality Group operates approximately 388 Wendy’s locations across 16 states and is headquartered in Grand Rapids, Michigan.
For the record
Kyle Gulock, Matt Kramer and Joshua Berger of Century Partners Real Estate and Scott Reid of ParaSell represented the seller. Alan Cafiero of Marcus & Millichap represented the buyer.