Investors looking for a stable, long-term return will be interested in the opportunity presented by the sale of two drive-through restaurant premises in Shannon, Co Clare and in Cavan. The properties, which are available together or separately, are occupied by McDonald’s restaurants and are guiding at €1.2 million and €1.8 million respectively through agent Bannon. The combined guide price is €3 million.
The McDonald’s drive-through in Shannon is located along the Limerick Road, directly opposite Shannon Town Centre. It is situated in a high-traffic area and comes with the benefit of a one-acre site to the rear of the McDonald’s premises.
The premises extend to a gross internal area of 306 sq m (3,332 sq ft). McDonald’s recently agreed a new lease providing the purchaser with almost 13 years term certain at a passing rent of €82,533. There is a rent review in 2027. Allowing an arbitrary €60,000 for the site, the drive through is delivering a yield of 6.6 per cent.
The McDonald’s in Cavan is located at Pullamore Business Park and is positioned along the busy N3 Dublin – Cavan Road. The sale also includes two workshop style units, which are leased respectively to the National Car Testing service (NCT) and to a veterinary practice. The McDonald’s drive-through restaurant is let for another 15.5 years and is generating annual rental income of €90,304. The NCT centre and veterinary practice are paying a combined €48,690 in annual rental income. The Cavan investment is delivering a yield of 7 per cent based upon the quoting price of €1.8 million
Brian Morton of Bannon says: “These prime drive-through restaurants offer the chance to attain an investment with stable and long-term returns. The strength of the tenant covenant along with the assets’ strategic location will make this opportunity highly appealing to any potential investor.”
