Sold

Tide Cleaners Service Facility

Houston, TX

Price

$3,100,000

Cap Rate: %

Long-Term Sale-Leaseback Opportunity in Houston, TX

Blue West Capital is pleased to exclusively offer for sale a single-tenant Tide Cleaners service facility property located in Houston, Texas. The 20,043-square-foot building has operated as a laundry facility for 21 years.

Tide Cleaners will operate on a brand-new 15-year absolute net lease (NNN) commencing at the close of escrow. The lease features scheduled 10% rental increases every 5 years in the base term as well as in the two 5-year renewal options. This property handles the laundry and dry cleaning services of 10 Tide Cleaners locations, runs 10 delivery routes, and services both residential and commercial customers. The guarantor of the property operates 38 locations throughout Houston and Austin. This location individually generates $12M in gross revenue annually. Tide Cleaners is an industry leader in dry cleaning services and is ranked as the #1 dry-cleaning franchise brand in the U.S. (according to 2022 Entrepreneur Franchise 500).

The property provides quick access to US Route 59 (Interstate 69). This submarket has proven to attract a strong mix of retailers, wholesalers, transportation, and warehousing. The population within three miles of the property is 240,277 residents with an average annual household income of $121,581. The excellent demographics, submarket demand, and industry-leading tenant make this property a strong investment opportunity.

Investment Highlights

  • Brand-new, 15-year lease commencing at the close of escrow
  • Absolute net lease (NNN) with no landlord responsibilities
  • Scheduled, 10% rental increases every 5 years allow for a hedge against inflation
  • Corporate guarantee from Edit TX, LLC - experienced Operator with 38 locations throughout Houston and Austin
  • Mission Critical Location - this facility handles the laundry and dry cleaning services for 10 other locations as well as 10 delivery routes
  • Long term operating history - this property has operated as a laundry facility for 21 years (converted into a Tide Cleaners in 2018)
  • The property has used “Green Earth Cleaning” since its opening which protects it from environmental issues
  • Tide Cleaners has approximately 188 locations nationwide and ranked as the #1 dry-cleaning franchise brand in the U.S. (according to 2022 Entrepreneur Franchise 500)

BROKER OF RECORD

Bang Realty-Texas, Inc.

License #: 701472

Location Highlights

  • Infill Houston location, the largest city in Texas and 4th largest in the U.S.
  • Property is located 0.2 miles from US Route 59 (Interstate 69) which sees over 295,000 vehicles per day
  • Densely populated area with 240,277 residents within three miles
  • Affluent surrounding area with average household income of $121,581 within three miles
  • Property located in an Opportunity Zone, offering additional tax incentives for investors to develop
  • Industrial vacancy rate in Q2 2023 has decreased 2.6% YoY to 4.4%.

We are ready to assist you.

Let's Connect arrow_forward

Close

Enter Your Information To Request The Offering Memorandum

Industry Role
Close

We are ready to assist you.

Please fill out the form and we will be in touch shortly.

Contact Information

400 S. Colorado Blvd | Suite 590
Denver, CO 80246

info@BlueWestCapital.com

720-989-1031