RICHARDSON, Texas – A local investor has scooped up a Zoes Kitchen net-leased property in North Dallas as the restaurant industry buzzes about the chain's pending $300 million sale.
FSH Glory Enterprises LLC has purchased a 2,909-sf freestanding restaurant with a drive-thru lane on 0.45 acres at 222 W. Campbell Rd. in Richardson. Zoes Kitchen has 15 years remaining on its triple net lease.
"It's one of the few single-tenant properties with a drive-thru component that could be available in this neighborhood for the foreseeable future. We are confident it could be easily backfilled if the tenant would ever vacate," says Kyle Espie, senior associate of Dallas-based Bradford Commercial Real Estate Services, who represented the buyer.
The publicly traded Zoes Kitchen is poised to be bought by Cava Group Inc., which reportedly is financing the acquisition through an investment group led by restaurant industry veteran, Ron Shaich, founder and former CEO of Panera Bread. If the deal closes as planned, Washington, D.C.-based Cava would become the dominant player in the Mediterranean-style restaurant segment. Zoes Kitchen, headquartered in Plano, Texas, has 203 locations in 17 states.
In a 60-day spin, FSH Glory Enterprises has closed on a property close to Central Expressway and surrounded by hotels, restaurants and retail, primarily national brands. "The neighboring tenants are nationally recognized names that validate the success of this location," Espie says. "They are a good complement for Zoes Kitchen."
Alvin Mansour and Kevin Mansour of Marcus & Millichap Real Estate Services represented the seller, Scholer ZK Dallas LLC. The building was completed in 2011 and underwent a full trade dress in 2013 for Zoes Kitchen.
October 16, 2018