PDQ

As one of the latest newcomers to the fast-casual restaurant sector, PDQ is a privately held corporation experiencing explosive growth since 2011, numbering fifty four locations at present. With choice property selection leading to daily customer traffic, net leasing investors are likely to see great opportunities with PDQ in the future.

PDQ

With ground leasing absolute NNN structuring, standard leases hover between fifty to twenty year terms with ten percent rent increase approximately every five years. This, alongside with 4 separate five year options to renew. Buildings normally encompass four thousand sq. ft. in dimension sitting on approximately one acre of land. Only a small portion of PDQ’s are franchised; the majority of PDQ’s are company-owned with solid guarantees.

Tenant Description

Dedicated to superior quality fast-casual dining, PDQ originated back in 2011 by Nick Reader (of MVP Holdings) and Bob Basham (of Outback Steakhouse fame). Interestingly enough, there is a relatively unknown trivia behind the company name itself. It’s a form of a double entente and acronym combined, meaning both “Pretty Darn Quick” and “People Dedicated to Quality”. Averaging near seventy five employees per location, they believe in over-delivering when it comes to Southern hospitality.

With open area design inside their restaurants, customers can see food preparation in action, with made-from-scratch sauces and no microwaves in sight. Customers will also find all menu items below ten bucks, and typical orders will average substantially less. PDQ offers everything from fresh chicken, salads, sandwiches, delicious fries to tasty milkshakes. In fact, the quick service chain prides themselves on 2 minute dishes without sacrificing on healthy ingredients.

PDQ is on track to expand, opening store #54 in NJ and targeting new markets in FL, NV, UT, and AZ. Upon opening the first restaurant in Tampa, FL, they quickly found success in their home state and nearby states spreading to GA, AL, SC, NC, TX, and NV.

As to real estate figures, approximately 4/5 of all PDQ’s are company owned and run, while the rest are franchised. Each storefront averages about one million dollars in advance, however PDQ has plans to optimize this cost by well over 100k for new properties.

In 2014, they were nationally recognized by Nation’s Restaurant News for their business model, with awards by others publications such as Restaurant Business Magazine. Given their rapid growth, it should be no surprise to see this continue in the future.