Starbucks

Interested in selling your Starbucks NNN property or Starbucks 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 Starbucks NNN property for sale or Starbucks 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 Starbucks NNN property or the inclusion of a Starbucks ground lease property in your investment portfolio. As specialists in working with 1031 exchange buyers seeking off-market Starbucks 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, Starbucks has over 33,000 stores in 83 countries. Of these, over 15,000 are located in the United States and Canada.

Revenue and income

In 2022, Starbucks total revenue was $31.2 billion. Net income was $4.5 billion.

Future plans

Starbucks plans to continue expanding its global footprint. In 2023, the company plans to open over 2,000 new stores worldwide. Starbucks also invests in new technologies, such as digital ordering and delivery services.

Corporate vs. franchise 

About 60% of Starbucks stores are company-owned, while 40% are licensed or franchised. Franchisees or licensees typically pay fees for licensing and royalties.

Additional information Starbucks Properties

In 1971, Starbucks was founded in Seattle, Washington.
The first mate inspired the company’s name in Herman Melville’s Moby-Dick.
Starbucks is the largest coffeehouse chain in the world.
The company’s most popular products include coffee beverages, teas, and pastries.
Starbucks Corporation is a publicly-traded company listed on the NASDAQ stock exchange under the symbol SBUX.

Starbucks History

Starbucks originated in 1971 when three partners – Jerry Baldwin, Zev Siegl, and Gordon Bowker – opened a Starbucks Coffee, Tea, and Spices store in Seattle, Washington. The company’s name was inspired by the character Starbuck from Herman Melville’s novel Moby-Dick. Over the years, Starbucks evolved from a single store to a global coffeehouse chain. The iconic green logo became synonymous with high-quality coffee, and the company introduced innovative products like the Frappuccino and Pumpkin Spice Latte. Starbucks embraced a global expansion strategy, entering international markets and establishing itself as a leading coffee brand worldwide. As of today, Starbucks continues to adapt to changing consumer trends, offering a diverse menu, emphasizing ethical sourcing, and providing a unique coffeehouse experience.

Why Invest in Ground Lease and NNN Lease of Starbucks?

Investing in Starbucks ground lease and triple net (NNN) lease properties offer compelling reasons:

1) Starbucks NNN Property Investment: Stable income

With a globally recognized brand and a strong market presence, Starbucks provides a reliable income stream. Ground and NNN leases offer predictable cash flows over the long term.

2) Starbucks NNN Property Investment: Established tenant

Starbucks widespread success and iconic brand reduce the risk of vacancy or lease default, ensuring a stable tenant for the property.

3) Starbucks NNN Property Investment: Low management responsibility

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

4) Starbucks NNN Property Investment: Favorable lease terms

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

5) Starbucks NNN Property Investment: Real estate value

Starbucks strategic locations in high-traffic areas can enhance property value, offering potential capital appreciation.

Pros and Cons of Starbucks Ground Lease and NNN Lease Investment

Pros:

1. Stable income from a globally recognized 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 Starbucks 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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