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Cheddar Scratch Kitchen

Overview

Acquired by Darden Restaurants in 2017, Cheddar’s Scratch Kitchen is a casual dining chain specializing in made-from-scratch meals, with popular dishes like Smoked Baby Back Ribs, Country Fried Chicken, Scratch Burgers, and Homemade Onion Rings. Founded in Texas in 1979 by Aubrey Good and Doug Rogers, Cheddar’s now operates 140 locations across the Southern, Midwestern, and Mid-Atlantic regions. Cheddar’s properties are attractive investments due to their triple net leases, which require no landlord responsibilities and often include rental increases, providing growing returns over time. Additionally, the adaptable layout of Cheddar’s restaurants allows for easy re-tenanting with minimal renovations if the property becomes vacant.
Lowest Cap Rate

5.50%

Average Cap Rate

6.03%

Property & Lease

Average Sale Price

$4,569,092

Average NOI

$275,516

Building SF

8,000 – 8,500 SF

Lease Term

15 – 20 Years

Escalations

Varies

Stock Symbol

DRI
Credit Rating

S&P

BBB

Moody’s

Baa2

Tenants

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