Investment Opportunity: Dutch Bros Coffee (9605 Menchaca Rd.)

This investment opportunity features a newly built (2022) Dutch Bros drive-thru coffee location in South Austin with a corporately guaranteed absolute NNN lease, offering a long-term, passive income stream with zero landlord responsibilities. Positioned at a high-traffic, signalized intersection near major retailers and new multifamily developments, the property benefits from strong visibility and an affluent customer base. Dutch Bros, a rapidly expanding national coffee brand, provides built-in stability with consistent revenue growth, a high AUV, and a market cap of approximately $4.8B. Additionally, 10% rent increases every five years ensure strong inflation protection, making this an attractive investment in a thriving market. The surrounding area continues to see rapid growth, with over $270 million in development projects and a 23% population increase in the past decade. With its prime location, strong tenant, and long-term lease structure, this asset presents an excellent opportunity for stable and appreciating returns.

BUILDING

• New Build (2022) | Dutch Bros’ latest prototype, build-to-suit construction
• Corporate-Backed | Absolute NNN Lease
• Zero landlord responsibilities | 13+ years remaining on the initial term
• Strong Rental Growth | 10% rent increases every 5 years, including option periods

LOCATION

• Prime Hard Corner Location | Signalized intersection at Slaughter Ln. & Menchaca Rd. (±77,200 VPD)
• High Traffic & Visibility | Menchaca Rd. sees over 32,000 VPD
• Dense & Affluent Area | 114,600+ residents within 3 miles, avg. HH income $129K+
• Retail & Entertainment Hub | Across from Tanglewood Village (157,000 SF, anchored by H-E-B) and in the heart of South Austin’s growing Bar & Entertainment district (“the next Rainey Street”), with $270M+ in active developments
• Proximity to Key Developments | Walking distance to major multifamily projects, including: Moontower Apartments (431 units, $77M development), The Local (233 units), Shelby Ranch (302 units)
• Surrounded by National Tenants | H-E-B, McDonald’s, Walgreens, Planet Fitness, LA Fitness, Discount Tire, AutoZone, Popeyes, Sonic, Bank of America, Jiffy Lube, 7-Eleven, and more
• Near Major Retail Destinations | Less than 2.5 miles from: Southpark Meadows (1.6M SF, Austin’s largest shopping destination), Shady Hollow Village (Randalls-anchored shopping center) and James Bowie High School (2,782 students)
• Easy Access to I-35 (152,560 VPD) | Just over 2.5 miles away

MARKET

• Austin Market Strength | Fastest-growing U.S. metro for 12 consecutive years (2012-2023)
• Ranked #9 Best U.S. City to Live (2024-2025) by U.S. News & World Report
• Texas Advantage | Located in an income tax-free state