Gus’s World Famous Fried Chicken

Net Lease Investment Opportunity: Gus’s World Famous Fried Chicken | Germantown, TN

Premium NNN Investment & Property Overview

Lee & Associates, in association with ParaSell, Inc., is pleased to present the exclusive opportunity to acquire the fee simple interest in a prime single-tenant net leased asset located at 3100 Forest Hill Irene Road, Germantown, Tennessee. This highly desirable commercial property features an approximately 3,346-square-foot freestanding restaurant building situated on a spacious 32,104-square-foot parcel.

The property is fully leased to We Chickens, LLC (d/b/a Gus’s World Famous Fried Chicken), a nationally recognized and iconic restaurant brand boastings roots that date back to 1953 and a strong footprint of more than 35 locations across 15 states. Positioned as a high-visibility outparcel to the bustling Shops of Forest Hill shopping center, this asset guarantees consistent, daily-needs consumer traffic.

Secure Lease Structure & Strong Asset Fundamentals

This commercial real estate investment offers a highly secure, passive income stream with an ideal corporate structure:

• True NNN Lease: Absolute net lease structure providing full reimbursement of property taxes, insurance, and common area maintenance (CAM) expenses, resulting in minimal landlord responsibilities.

• Long-Term Stability: The lease commenced on March 1, 2022, and runs through February 28, 2037, offering over 10 years of remaining primary term plus three (3) additional 5-year renewal options.

• Built-In Inflation Hedge: Features attractive 3% annual rent increases, compounding value and yield year-over-year.

• Excellent Profitability Metrics: Operates at a reported Net Operating Income (NOI) of approximately $120,444, backed by an exceptionally strong 4.3% rent-to-sales ratio that ensures long-term tenant health and operational viability.

• Recent Property Upgrades: The asset delivers added peace of mind with a brand-new roof featuring a fully transferable warranty.

Strategic Location & High-Traffic Retail Synergy

The subject property is strategically positioned near the prime, signalized intersection of Forest Hill Irene Road and Poplar Avenue, a critical commercial juncture in the Memphis Metropolitan Area. As an outparcel to the Shops of Forest Hill, the restaurant benefits directly from the immense drawing power of premier national anchor tenants:

• Retail Anchors: Target and Sprouts Farmers Market.

• Surrounding Growth: The immediate trade area is heavily surrounded by a dense mix of luxury residential developments, class-A medical centers, corporate offices, and upscale retail destinations.

Affluent Germantown Demographics & Memphis MSA Economics

Germantown is widely celebrated as one of Tennessee’s most affluent, safe, and desirable communities. The immediate market features spectacular demographic fundamentals that far exceed national averages:

• Unmatched Household Wealth: Average household incomes reach an extraordinary $284,637 within a 1-mile radius and a robust $197,215 within a 3-mile radius.

• Dense Population Base: Features a growing population of over 49,000 residents within a three-mile radius, backed by a highly educated workforce and top-tier public schools.

• Regional Economic Drivers: The broader Memphis MSA market provides a diverse and resilient economic foundation, anchored by global heavyweights such as the FedEx World Headquarters alongside major medical and logistical employment hubs.

Investment Highlights for Commercial Buyers:

• Iconic National Tenant: Single-tenant Gus's Fried Chicken with strong historical brand performance.

• True Passive Income: Absolute NNN lease with 3% annual rent escalations and zero landlord hassles.

• Elite Demographics: Located in a submarket featuring a $284k+ average household income.

• Premier Retail Corridor: Outparcel to a Target and Sprouts-anchored center on Poplar Ave.