Mattress Firm

Interested in selling your Mattress Firm NNN property or Mattress Firm lease property and was wondering what you can get for it in today’s changing market?

Contact us for a complimentary broker opinion of value for your off-market Mattress Firm NNN property for sale or Mattress Firm ground lease property for investment, specifically tailored to support your 1031 exchange requirements. This valuable assessment will provide you with the necessary clarity to make informed decisions regarding the sale of your Mattress Firm NNN property or the inclusion of a Mattress Firm ground lease property in your investment portfolio. As specialists in working with 1031 exchange buyers seeking off-market Mattress Firm properties, we are dedicated to delivering competitive offers with reduced fees to help you maximize your investment returns.

Mattress Firm logo

Number of locations

As of January 2023, Mattress Firm has over 3,700 stores in the United States.

Revenue and income

In 2022, Mattress Firm’s total revenue was $3.5 billion. Net income was $100 million.

Future plans

Mattress Firm plans to continue expanding its retail footprint. In 2023, the company plans to open over 100 new stores nationwide. To assist clients in finding the ideal mattress, Mattress Firm is also investing in cutting-edge technology like virtual and augmented reality.

Corporate vs. franchise 

About 90% of Mattress Firm stores are corporate-owned. The remaining 10% are franchised. Franchisees typically pay a franchise fee of $30,000 to $50,000 and a royalty fee of 5% of gross sales.

Additional information Mattress Firm Properties

Mattress Firm was founded in 1986 in Houston, Texas. The first store to offer mattresses and other sleep products is referenced in the company name. The biggest mattress store in the US is Mattress Firm. The company’s most popular products include mattresses, bed frames, pillows, and bedding. Mattress Firm is a Steinhoff International Holdings NV subsidiary, a South African retail conglomerate.

Mattress Firm History

Mattress Firm was founded in 1986 in Houston, Texas. The company was initially called Sleepy’s but changed its name to Mattress Firm in 2015. With more than 3,700 locations nationally, Mattress Firm is the most prominent mattress retailer in the country.

Why Invest in Ground Lease and NNN Lease of Mattress Firm?

Investing in Mattress Firm’s ground lease and triple net (NNN) lease properties offers compelling reasons:

1) Mattress Firm NNN Property Investment: Stable income

Mattress Firm is a well-established brand with a strong market presence. This provides reliable income streams for investors. Ground and NNN leases offer predictable cash flows over the long term.

2) Mattress Firm NNN Property Investment: Established tenant

Mattress Firm is a successful company with a recognizable brand. This reduces the risk of vacancy or lease default, ensuring a stable tenant for the property.

3) Mattress Firm NNN Property Investment: Low management responsibility

In-ground and NNN leases, the tenant manages property maintenance and expenses, minimizing the landlord’s management obligations.

4) Mattress Firm NNN Property Investment: Favorable lease terms

Long lease terms with built-in rent escalations provide predictable income and potential rental growth.

5) Mattress Firm NNN Property Investment: Real estate value

Mattress Firm’s strategic locations in high-traffic areas can increase property value, offering potential capital appreciation.

Pros and Cons of Mattress Firm Ground Lease and NNN Lease Investment

Pros:

1. Stable income from a well-established brand.
2. Established tenant reduces vacancy and lease default risks.
3. Minimal management responsibility for landlords.
4. Long lease terms provide stability and potential income growth.

Cons:

1. Lease renewal risk when the term expires.
2. Dependency on Mattress Firm’s success and operational challenges.
3. Market saturation and competition affect profitability.
4. Limited control over property decisions.
5. Economic and market risks inherent in real estate investments.

Thorough due diligence and consideration of location, lease terms, tenant strength, and investment strategy are essential. Seek guidance from real estate professionals and financial advisors to align with your goals and risk tolerance.

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