Krystal | New 25-Year Sale-leaseback | Pioneer Franchisee
Krystal | New 25-Year Sale-leaseback | Bite Sized Absolute NNN Lease
Marketing description
CBRE is pleased to present the exclusive offering of the Krystal located at 10 Canal Place in Philadelphia, MS, consisting of a 2,227±SF freestanding building on 0.42± acres. The property will be subject to a new 25-year lease commencing at Close of Escrow, with $71,250 in year-one base rent and 1% annual escalations beginning in Year 6 throughout the four five-year renewal options (45-year potential total term).
The site is positioned along a primary retail arterial surrounded by national and local retailers including Walmart, Lowe’s, Walgreens, McDonald’s, Wendy’s, and Dollar General. Additionally, the property benefits from proximity to Pearl River Resort, a major regional gaming and hospitality complex approximately 3± miles east along Hwy 16, which serves as the largest employer in Neshoba County and provides durable daily demand from employees, visitors, and the surrounding tribal community—supporting long-term QSR performance.
Investment highlights
- Brand-New 25-Year Absolute NNN Lease (Zero Landlord Obligations) – Lease commences at close of escrow; tenant is responsible for taxes, insurance, maintenance, and replacements (true passive ownership).
- Embedded Rent Growth – 1% annual escalations beginning Year 6 and continuing through the option periods, providing inflation hedge and long-term income growth
- Best-in-Class Franchisee / Guarantor – WAC Enterprises (guarantor) is a 96+ unit operator with a long operating history and demonstrated discipline through Krystal’s cycle volatility
- Drive-Thru Format = Highest-Liquidity QSR Real Estate – Highly functional drive-thru configuration aligns with the most in-demand institutional QSR format; strong backfill optionality to other small-format drive-thru users if the box is ever re-traded.
- Front-Row Outparcel Positioning at Canal Place – Canal Place Shopping Center out-parcel with strong frontage on the primary retail strip and dominant local arterial exposure.
- Destination Demand Driver Nearby (Casino/Resort Proximity) – Located within the immediate vicinity of the Philadelphia, MS casino and resort, supporting consistent daily traffic and employee/visitor demand.
- Tenant-Funded Capex Profile (2000 Build, No Landlord Exposure) – Absolute NNN structure places ongoing replacement and capital responsibility on the tenant —minimizing Cap Ex risk to ownership.
Listing Contacts
Valuation Calculator
Valuation Metrics
Map
Broker Selected Comps View More Comps
Property History
Tax History
Similar Properties
Is there information that looks off?
