The Boulder Group is pleased to exclusively market for sale a single tenant absolute net leased Max & Erma’s property located in the Detroit MSA. The 6,264 square foot Max & Erma’s restaurant is ideally located at an Interstate 75 interchange in a dominant retail destination that attracts consumers from throughout parts of Michigan and nearby Canada. Located across the street is the Great Lakes Crossing Outlets, which features over 180 shops and 1.4 million square feet of retail. Max and Erma’s has approximately nine years remaining on their twenty year lease that expires April 30, 2023. The lease features a 7.5% rental escalation in 2018. Max & Erma’s is a casual dining restaurant chain that is known for their award-winning burgers, locally brewed beer and fresh-baked chocolate chip cookies as well as many other menu items. Max & Erma’s is a wholly owned subsidiary of American Blue Ribbon Holdings, the 8th largest full service restaurant holdings company in the United States.
The Max & Erma’s is located across the street from the Great Lakes Crossing Outlets. Great Lakes Crossing Outlets is Michigan’s largest and dominant outlet shopping center with a strong mix of fashion department store outlets, manufacturer’s outlets, and category-dominant stores. Notable retailers within the development include Polo Ralph Lauren, Coach, Michael Kors, Lacoste, J. Crew, Hugo Boss, Talbots, and many other premium retailers. The development also features a 25-screen AMC Theatre and Sea Life Michigan Aquarium (scheduled to open Spring 2015). Approximately 20% of Great Lakes Crossing Outlets’ shoppers are tourists traveling 60 miles or more and come from throughout the Midwest and Canada. Further establishing this corridor as a dominant retail destination is the presence of many big box national retailers in the immediate vicinity. Surrounding notable retailers include Costco, Sam’s Club, Target, Home Depot, Meijer, Kohl’s, Best Buy, and many others.
The 2.89 acre Max & Erma’s parcel is located at a high profile Interstate 75 interchange on Baldwin Road. Interstate 75 experiences traffic counts in excess of 85,000 vehicles per day. Baldwin Road is a heavily trafficked north-south thoroughfare in the northwest suburbs. The average annual household income within a one mile radius is in excess of $73,000. Additionally, there are approximately 125,000 people living within a five mile radius.
Max & Erma’s has approximately 9 years remaining on their absolute net lease that expires April 30, 2023. The lease features a 7.5% rental escalation in 2018. There are approximately 70 Max & Erma’s locations throughout parts of the Midwest and East Coast. Max & Erma’s is a wholly owned subsidiary of American Blue Ribbon Holdings, the 8th largest full service restaurant holdings company in the United States and have over 646 restaurants.