Painesville Retail for Sale - Northeast
Marcus & Millichap is pleased to present the opportunity to acquire a net leased investment opportunity consisting of a KFC quick service restaurant. It is located on Richmond Street, which is a key thoroughfare in Painesville, Ohio, within the Cleveland metropolitan statistical area. This KFC is subject to an absolute triple net lease with approximately 15.5 years remaining, with two (2) five-year options to extend and 7% rent increases every five years, offering a passive, long-term income stream with built-in inflation protection. It is a well-established store that has operated at this location for over 34 years, underscoring the operator's long-term commitment to the site. This offering provides significant long-term value as the rent is significantly below market as compared to similar QSR leases.
The subject property features an 1,823 SF building constructed in 1992 and renovated in 2015. It is situated on a just under 1/2-acre parcel of land. The site qualifies for 100% bonus depreciation, providing potential tax savings—contact the listing agent for an estimate. It includes excellent visibility and access with three points of ingress/egress, ample parking, and high-visibility signage along Richmond Street.
This KFC is located at the intersection of Richmond Street and nearby major routes, benefiting from combined traffic counts exceeding 60,000 vehicles per day, including 10,000+ VPD on Richmond Street, 8,800+ VPD on East Erie Street, and 42,000+ VPD on SR 2. This area has a population of over 40,000 residents within a 3-mile radius, with an average household income of about $79,000. With ongoing development and revitalization efforts in Painesville, this KFC's business is positioned for continued growth.
The KFC benefits from its proximity to major residential and economic growth, including the $28 million Victoria Place project in downtown Painesville, which will deliver 78 market-rate apartments, and the broader $500 million in public and private investments fostering new residential, entertainment, and commercial districts. Also nearby, developments like Highland Park by Payne and Payne Builders are adding new homes, contributing to increased housing density and population in this expanding area.
KFC—a wholly owned subsidiary of U.S.-based Yum! Brands Inc.—is one of the world’s largest quick service restaurant chains, with over 4,000 U.S. locations and 32,000 stores globally. Backed by a BB+ credit rating (S&P) and over $34 billion in annual system-wide sales, the brand offers institutional-grade investment security. This site is operated under guarantee from KBP Foods, the largest KFC franchisee with over 1,100 stores, underscoring its strategic importance and long-term commitment to this location.
BROKER OF RECORD: Michael Glass, 500 Neil Ave., Ste. 100, Columbus, OH 43215, P: (614) 360-9800, Lic. # BRK.2007005898
