Red Robin

Interested in selling your Red Robin NNN property or Red Robin ground 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 Red Robin NNN property for sale or Red Robin 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 Red Robin NNN property or the inclusion of a Red Robin ground lease property in your investment portfolio. As specialists in working with 1031 exchange buyers seeking off-market Red Robin properties, we are dedicated to delivering competitive offers with reduced fees to help you maximize your investment returns.

Number of locations

As of January 2023, Red Robin has over 560 restaurants in the United States and Canada.

Revenue and income

In 2022, Red Robin’s total revenue was $1.5 billion. Net income was $48 million.

Future plans

Red Robin plans to continue expanding its presence. In 2023, the company aims to open over 50 new restaurants. Red Robin is also focusing on enhancing customer experience through innovations like digital ordering and delivery services.

Corporate vs. franchise

Approximately 90% of Red Robin restaurants are company-owned, while the remaining 10% operate as franchises. Franchisees typically pay a franchise fee and ongoing royalties based on sales.

Additional information Red Robin Properties

Red Robin History

Red Robin’s origins date back to 1969 when Gerry Kingen opened the first Red Robin Gourmet Burgers and Spirits restaurant in Seattle, Washington, named initially “Sam’s Tavern.” Transforming in 1973 with the creation of the iconic Red Robin logo, the restaurant gained popularity for its gourmet burgers and casual, family-friendly atmosphere. Over the years, Red Robin has expanded its menu, emphasizing quality ingredients and a fun dining experience. The brand continued nationwide expansion in the 1980s and 1990s, navigating various ownership changes and going public in 2002. Renowned for its creative promotions like “Bottomless Fries” and community engagement, Red Robin has become a well-established name in the casual dining industry.

Why Invest in Ground Lease and NNN Lease of Red Robin?

Investing in Red Robin’s ground lease and triple net (NNN) lease properties presents several compelling reasons:

1) Red Robin NNN Property Investment: Stable income

With a well-established brand and a niche in the casual dining sector, Red Robin provides a reliable income stream. Ground and NNN leases offer predictability in cash flows over the long term.

2) Red Robin NNN Property Investment: Established tenant

Red Robin’s reputation and recognizable brand reduce the risk of vacancy or lease default, ensuring a stable and reputable tenant for the property.

3) Red Robin NNN Property Investment: Low management responsibility

In-ground and NNN leases, the tenant typically manages property maintenance and expenses, minimizing the landlord’s involvement in day-to-day operations.

4) Red Robin NNN Property Investment: Favorable lease terms

Long lease terms with built-in rent escalations provide stability and potential for rental growth, contributing to a favorable investment outlook.

5) Red Robin NNN Property Investment: Real estate value

Red Robin’s strategic locations in high-traffic areas can enhance property value, offering potential capital appreciation.

Pros and Cons of Red Robin Ground Lease and NNN Lease Investment

Pros:

1. Stable income from a well-established brand in the casual dining industry.
2. The established tenant reduces the risk of vacancy and lease default.
3. Limited management responsibility for landlords.
4. Long lease terms contribute to stability and potential income growth.

Cons:

1. Lease renewal risk upon expiration.
2. Dependency on Red Robin’s success and operational challenges.
3. Sensitivity to economic factors and competition in the casual dining sector.
4. Limited control over certain property decisions.
5. General financial 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.