Jump to content

Steak'n Shake Restaurants For Sale


Parsad
 Share

Recommended Posts

I put together a PDF compilation of 15 Steak'n Shake restaurants that are for sale on LoopNet.  There are some very interesting tidbits of information regarding some of the locations.  Some of the restaurants look to be in terrific condition as well.  The PDF is attached to this post.  Cheers!

Link to comment
Share on other sites

thnx, sanjeev.

 

to briefly re-cap:

 

sns has 15 properties for sale on loopnet currently. 2 of those are listed as 'vacant', which leaves 13 as going restuarant concerns. total asking price for the 15 properties is about 20 mil. listed net operating income of the 13 presumably going concern standalone restuarants is 1.327 mil. dont know how current those figures are, which is to say how accurate they are. it appears fiscal 2007 numbers may being used.

 

my question is: am i interpreting things correctly in assuming that 13 of the 15 properties for sale are still going restaurant concerns for sns? if so, then those would appear to be sale-leaseback transactions that they are looking to do, assuming these are all corporate owned. is that right?

 

it would also appear that those 13 properties are separate & in addition to the restaurants we know sns closed in fiscal 2008 & the 1st Q of 09 as per their 2009 10Q for the 1st qtr:

 

<<5.  Restaurant Closings

 

 

We permanently closed one Company-owned restaurant during the first quarter of fiscal year 2009 and thirteen Company-owned restaurants in the fourth quarter of fiscal year 2008.  The restaurant closed in the first quarter of fiscal year 2009 and ten of the restaurants closed in fiscal year 2008 were located near other Company-owned stores that continue to operate.  Therefore, the results of operations of these restaurants are not presented as discontinued operations and continue to be included in continuing operations in the condensed consolidated Statements of Operations.

 

 

The assets of three restaurants closed in fiscal year 2008 were not located near other Company-owned stores, and we do not expect to have significant continuing involvement in the operations after disposal.>>

 

any one have different thoughts?

 

 

Link to comment
Share on other sites

Quick note: The net operating income figure refers to the amount that the property buyer can expect to make, not to the operating income of the actual underlying restaurant.  This can be confirmed by taking the number and dividing it by the asking price of that property, which will equal the stated cap rate.

Link to comment
Share on other sites

If it says there is say 5yrs or 7yrs or something on the lease, it's doubtful the building is owned by SNS, the vendor is likely a REIT or private investor.

 

Many of the listings state "sale/lease-back" and "new lease for 20yrs" etc... it's highly probable but not certain that they are owned by SNS (unlikely, but could potentially be an owner occupied franchisee).

 

Vendor info is probably obtainable from the leasing agents if anyone is really interested.

Link to comment
Share on other sites

Guest
This topic is now closed to further replies.
 Share

×
×
  • Create New...