The Sandbar & Kitchen

2910 Atlantic Ave
Fernandina Beach, FL 32034
$5,416,667

Cap Rate: 6.00%

GLA: 7,400 SF

Lot Size: 0.22 Acres

Year Built: 1962/2017

Type of Ownership: Fee Simple

Lease Term: 20 Years

Lease Type: Absolute NNN

Status: Closed

Investment Highlights

STRONG REAL ESTATE FUNDAMENTALS

  • Rare Beach Front Investment 
  • High Barriers to entry 
  • Destination Resort Area which hosted over 662,900 visitors in 2021, generating economic impact of $714,715,700. 
  • Walking distance to over 376 hotel rooms, including Marriot Courtyard and Spring Hill Suites (239 rooms) completed in March 2021 
  • The restaurant can accommodate almost 350 guests at its three bars, upstairs and downstairs dining rooms, and the indoor and outdoor music venues 
  • Located in Nassau County, 4th fastest growing county in Florida 
  • Affluent and growing local market and with strong tourist demand 

OPTIMAL LEASE STRUCTURE 

  • Absolute NNN 20-year base term lease 
  • 10% rent escalations every 5 years throughout entire lease 
  • Rent based on 8% 2021 Gross Sales 
  • 3.35 Rent Coverage Ratio based on 2021 EBITDAR 
  • Two (2), 10 year renewal options 
  • Triple Net (NNN) lease with no landlord responsibilities 

EXISTING PROFITABLE OPERATION – EXPERIENCED, VETERAN OPERATING TEAM 

  • Operator’s principals have an average of 25 years of experience and have owned and operated more than 130 restaurants representing 26 brands in 19 states 
  • Operator currently owns and operates 31 restaurants in the Southeastern U.S., including 16 located in coastal and beachfront communities 
  • Operator’s principals were previously instrumental in assembling and operating a portfolio of 98 casual, fast casual, polished casual, steakhouse, seafood, and fine dining restaurants comprised of 13 different brands operatingin 17 states as part of a consolidation strategy for a single private investor 

NASSAU COUNTY 

  • 4th fastest growing county in Florida 
  • Located within 750 miles of 13 major US Cities, easily accessible to Jacksonville International Airport. 
  • 1,666,836 people within a 90-minute drive 
  • 4.92% Population Growth in 2020 – 2021 
  • Forecasted Growth of 36% over the next ten years 

AMELIA ISLAND 

  • Premier travel destination known for its luxury resorts, golf courses and numerous sandy beaches. 
  • Hosted over 662,900 visitors in 2021 with an economic impact of $715,715,700 
  • Average Household Income of guests equaled $135,105 
  • Resident Population (±) 38,139 
  • AHHI (±): $116.439 

FERNANDINA BEACH 

  • Nassau County’s largest municipality and county seat 
  • Birthplace of the modern shipping industry at the nearby Port of Fernandina 
  • Historic District featuring shopping in downtown waterfront setting, 400 historic homes and regulation to control development 
  • Host to the Isle of Eight Flags Shrimp Festival drawing 100,000 people each May 
  • Visitors can visit the light house at Fort Clinch along with the pristine beaches within this 1,400-acre State Park 
  • Resident Population (±) 20,687 (5-mi) 
  • AHHI (±): $103,741 (5-mi) 
  • 6.54% Population Growth 2000-2010 
  • 6.04% Forecasted Population Growth 2021-2026