3409 Arden Way - Fast Food FOR SALE


Sacramento, CA 95825- Outer Arden-Arcade
$2,000,000 USD
858-449-4503
3409 Arden Way, Sacramento, CA for Sale
$2,000,000 USD
Fast Food - FOR SALE
1/17
null | 7.23% Cap Rate

3409 Arden Way
Sacramento, CA 95825
Outer Arden-Arcade


HIGHLIGHTS

  • LOW RENT TO SALES AT 3.18%
  • IMMEDIATE UPSIDE – RENT INCREASE AND LEASE UP
  • STRONG OPERATOR AND FASTEST GROWING BRAND
  • HIGH TRAFFIC – 75K+ CPD AT SIGNALIZED INTERSECTION
  • EXCELLENT DEMOS WITH HIGH GROWTH
  • MAJOR RETAIL CORRIDOR SURROUNDED BY SEVERAL NATIONALS

OVERVIEW

EXTREMELY LOW RENT TO SALES – HIGHLY PROFITABLE LOCATION • This location does very well with above average sales in 2025 at nearly $4m. • Extremely low rent to sales of 3.18% making this a highly profitable location. IMMEDIATE UPSIDE UPON 10% RENT BUMP AND VACANCY LEASE UP – MASTER LEASE OPPORTUNITY • An investor can immediately improve their overall return upon the 10% increase in Dave’s Hot Chicken rent in 2027 and lease up of the 870 SF Shadow Kitchen vacancy. • Seller will consider a one (1) year Master Lease for the one vacancy for a period up to one (1) year. INTERNATIONALLY RECOGNIZED AND GROWING TENANT – DAVE’S HOT CHICKEN • In June 2025, Roark Capital acquired a majority stake in Dave's Hot Chicken at a $1 billion valuation. This backing by the world's premier restaurant private equity firm adds immense corporate stability and institutional infrastructure • The brand boasts an Average Unit Volume (AUV) of roughly $3 million per location. This provides a highly sustainable rent-to-sales ratio, lowering default risk • Streamlined, simple menus minimize kitchen infrastructure and labor costs. Locations achieve 20% to 25% cash flow margins, vastly outperforming typical fast-food averages. STRONG FRANCHISEE ORGANIZATION AND GROWTH STRUCTURE • Corporate mandates require franchisees to possess a $5 million net worth and experience operating 5+ existing quick-service restaurants. This ensures the tenant paying your rent is an experienced, well-capitalized multi-unit operator • Named America’s fastest-growing restaurant chain by Technomic, the brand operates hundreds of open stores and holds a pipeline of over 1,000 contracted future locations. ATTRACTIVE ABSOLUTE NNN LEASE • Dave’s Hot Chicken features an attractive absolute NNN lease. The landlord enjoys passive income with zero management, maintenance, or tax obligations. • Favorable 10% rental increases every 5 years. This guarantees compounding yield growth that protects the investor against inflation. HUGE TRAFFIC COUNTS – 75,000+ AT SIGNALIZED INTERSECTION • High Traffic: o Watt Avenue – 51,378 CPD o Interstate 30 – 27,083 CPD • Ideally situated along two of the major retail corridors in Sacramento MSA IDEALLY LOCATED DIRECTLY ACROSS FROM REGIONAL GROCERY ANCHORED CENTER • Subject property is ideally located directly across the street from a Safeway anchored grocery center. Other Junior Anchors include Dollar Tree, Ross Dress For Less, BevMo!, Office Max and In-Shape Fitness. SURROUNDED BY THREE SCHOOLS RANGING FROM KINDERGATEN THRU HIGH SCHOOL • The subject property is surrounded by 3 major K thru 12 schools: Thomas Edison Elementary School, Arden Middle School and St. Ignatius School • Ideal location between the three schools, each less than a mile from the subject property, creating steady afternoon and evening customers STRONG DEMOS – DENSELY POPULATED AND HIGH HOUSEHOLD INCOMES • $131,327average HH incomes • 361,189 people within a 5-mile radius • 140,030 households within a 5-mile radius ADJACENT TO MAJOR HOSPITAL • Kaiser Permanente is located adjacent to the Subject Property providing a customer influx of both staff and patients. STRONG RETAIL TRADE AREA SURROUNDED BY SEVERAL NATIONAL TENANTS • Subject property is ideally located in the major retail corridor for Sacramento MSA surrounded by several national tenants including McDonalds, Chipotle, Dutch Bros, Taco Bell, Dairy Queen, and several others

FOR SALE DETAILS

PRICE

$2,000,000 USD

PRICE/SF

$517 USD /SF

CAP RATE

7.23%

% LEASED

-

TENANCY

Single

SALE TYPE

Investment

ON GROUND LEASE

Yes

BUILDING DETAILS

PROPERTY NAME

Dave's Hot Chicken | 3.18% Rent to Sales

PROPERTY TYPE

Retail

PROPERTY SUBTYPE

Fast Food

ADD'L SUBTYPES

Freestanding, Restaurant, undefined

TOTAL BUILDING SIZE

-

STORIES

1

YEAR BUILT

2001

SPRINKLERS

-

PARKING SPACES

30

LAND DETAILS

LAND ACRES

0.55 AC

LAND SF

23,958 SF

ZONING

Commercial

APN/PARCEL ID

279-0253-014

ASK ABOUT THIS PROPERTY

Ed Colson, CCIMInvestCore CommercialMore Info
858-449-4503

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Ed Colson, CCIMInvestCore CommercialMore Info
858-449-4503

By clicking the button, you agree to Showcase's Terms of Use and Privacy Notice.