Sisters Coffee Co Roastery Building

Investment Overview

The Sisters Coffee Company Roastery offers investors a modern industrial asset backed by an established Oregon brand. Completed in 2022, the facility sits on 0.79 acres in the North Sisters Business Park and features a clear-span high-bay floor, enclosed loading dock, 600-amp three-phase power, two floors of finished office, and retail tasting room. The sale-leaseback includes a new 10-year NNN lease with 3% annual rent increases and two 5-year renewal options, priced at a 6.00% cap rate on underwritten NOI. Sisters Coffee roasts its entire output here, supplying four cafés, West Coast grocery and wholesale accounts, and online customers. Sale proceeds will fund growth in the company's fastest-growing product line, packaged coffee, while they remain as tenant, offering investors a newer industrial asset with contractual rent growth and an established tenant.

Investment Highlights

• 37-Year Operating History
• Founded in Sisters in 1989 as Central Oregon’s first specialty roaster, now led by the next generation.
• On Grocery Shelves Across the West Coast
• Costco, Target, Kroger, Whole Foods and Safeway are among 12+ retail chains carrying the bagged coffee line.
• Mission Critical Facility with Room to Grow
• The Roastery handles the entirety of the company’s production. The family owns the adjoining parcel with plans for a separate building for finished goods and shipping.
• Sale Proceeds Fund the Next Stage of Growth
• Rather than hold the real estate on its balance sheet, Sisters Coffee is redirecting that capital into its grocery and wholesale business.
• New, 10-Year Absolute Net Lease with 3% Annual Increases
• Year 1 rent of $198,463 produces underwritten NOI of $188,539 after a 5% vacancy and reserve allowance. 2, 5-year options.
• 2022 Construction, Flexible Industrial Design
• Pre-engineered steel on CMU base with standing seam metal roof, fully sprinklered. 2024 interior remodel.
• Versatile, Highly Functional Layout
• 5,700 SF high-bay production and warehouse space with 4,200 SF finished office and retail, serviced by dock loading and three-phase power. Ideal for a variety of light industrial users.
• Sisters, OR: A Scarce, Supply-Constrained Market
• Set on US-20 at the foot of the Three Sisters, Sisters is one of Oregon’s best known destination towns and the fastest growing city in Central Oregon by percentage since 2020.