Scooter's Coffee

Investment Overview

Prime Net Lease is pleased to present a compelling opportunity to acquire the fee simple interest in a Scooter’s Coffee ground lease located at 2027 E Santa Fe Street in Olathe, KS, within the Kansas City MSA. The property is leased to Freedom Enterprises, LLC, an established Scooter’s Coffee franchisee operating more than 50 locations, and offers approximately 13+ years remaining on the initial lease term with three additional 5-year renewal options. The property is subject to an absolute NNN ground lease with zero landlord responsibilities, providing investors with a passive, management-free investment. The lease features 10% rental increases every 5 years and at the beginning of each renewal option, providing contractual income growth and a hedge against inflation. The current lease term extends through May 31, 2040, with options capable of extending occupancy through 2055. Strategically positioned along E Santa Fe Street, the property benefits from excellent visibility and exposure to 40,000+ vehicles per day and is located approximately half a mile from Interstate 35, which carries approximately 106,000 vehicles per day. The site is situated within a dense commercial corridor and directly across from the 625,000-square-foot Olathe Landing shopping center, with numerous national retailers and restaurants throughout the immediate trade area. The surrounding demographics further strengthen the location, with approximately 197,000 residents and 107,000 employees within five miles and an average household income exceeding $135,000. The combination of a long-term lease, absolute NNN structure with zero landlord responsibilities, contractual rental increases, experienced multi-unit franchisee, strong demographics, and high-traffic Kansas City MSA location makes this an attractive net lease investment opportunity. Scooter’s Coffee, headquartered in Omaha, NE, was founded in 1998 and has grown to 900+ locations across 32+ states. The company continues its rapid nationwide expansion and has established itself as one of the largest drive-thru coffee concepts in the United States.

Investment Highlights

• LONG TERM LEASE – Approximately 13.5+ years remain on the initial lease term with three additional 5-year renewal options, providing long-term income potential through 2055.
• ABSOLUTE NNN GROUND LEASE – Tenant is responsible for taxes, insurance, CAM, maintenance and all aspects of the premises, providing zero landlord responsibilities and a passive investment.
• RENTAL INCREASES – The lease features 10% rental increases every five years throughout the initial term and at the beginning of each renewal option, providing a hedge against inflation.
• STRONG MULTI-UNIT FRANCHISEE – Lease is signed by Freedom Enterprises, LLC, an established Scooter’s Coffee franchisee operating more than 50 locations.
• HIGH TRAFFIC LOCATION – Strategically positioned along E Santa Fe Street with 40,000+ VPD and approximately half a mile from Interstate 35, which sees 106,000+ VPD.
• DENSE RETAIL CORRIDOR – Located across from the 625,000 SF Olathe Landing shopping center and surrounded by national retailers including Lowe’s, Planet Fitness, McDonald’s and more.
• STRONG DEMOGRAPHICS – More than 196,000 residents and 107,000 employees are located within five miles of the property, with average household incomes exceeding $135,000.
• MARKET DOMINANT COFFEE CHAIN – Scooter’s Coffee has been in business for more than 25 years, operates 900+ locations across 32 states, and has aggressive expansion plans for the next several years.