Douglas County
Property Location: 248 Metzer Drive, Castle Rock, “Good Times Burgers restaurant”
Property Description: 2,539-sf restaurant, YOC 2004
Land Size: 43,560 sf
Sales Price: $1.35M, or $531.71 psf
Reception No.: 2018059150
Closing Date: 9/26
Grantor: MFG Holdings LLC (Donald E. Morrow, mbr.)
Grantee: BPAZ Properties LLC (Larry Pisciotta, CEO of Brakes Plus), 303-221-8600
Financing: Up-leg 1031 exchange
Comments: 10-year lease with Good Times was executed in May 2013 and will expire May 1, 2023 (less than five years remaining on the initial term, with four five-year options). This deal was handled by Drew Isaac of Marcus & Millichap, 303-321-2048. The cap rate was higher for this transaction than market cap rates of 5.5% to 6% due to the brevity of the initial lease term, according to Isaac. Isaac did not reveal the cap rate but speculation by this writer believes it to be 7% based on actual cash-on-cash return.
Comp of the Day is provided by John V. Winslow, president of Winslow Property Consultants. Winslow has more than 40 years’ experience in commercial real estate. He can be reached at 720-612-7878 or Colprop2012@gmail.com.
