Marcus & Millichap has arranged the disposition of a single-tenant Panera property in Milwaukee, with the net-leased asset trading for $2.45 million. The restaurant, located at 3511 S. 27th St., is operated under a corporate lease structure and was marketed as a stabilized, net-lease investment. The firm reported that the assignment resulted in a completed sale to a private buyer, with investor interest reflecting the profile of the asset and its income stream.
The Panera building totals 4,300 square feet and sits on a 0.72-acre parcel. Constructed in 2020, the property includes a drive-thru component, positioning it within the current preference among many retailers and customers for drive-thru and quick-service formats. The restaurant functions as an outlot to an adjacent retail center that includes national and regional tenants such as Ross, Michael’s, Marshalls and Planet Fitness, contributing to steady traffic in the immediate trade area.
The property is situated just south of downtown Milwaukee in a retail corridor anchored by Aurora St. Luke’s Medical Center. This location places the Panera near a major medical facility and within an established commercial area with a mix of daily-needs and soft-goods retailers. The combination of newer construction, drive-thru capability and proximity to both medical and retail destinations was positioned as part of the asset’s appeal to investors seeking durable cash flow.
Panera occupies the building under a 15-year corporate lease. The lease includes 10% rent increases every five years throughout the initial term as well as during the option periods, providing scheduled income growth over the life of the investment. The long lease term and fixed escalations were cited as key components of the offering, supporting predictable revenue for the new owner.
Within Marcus & Millichap, the transaction was led by Jeff Rowlett, a senior managing director of investments and investment specialist in the firm’s Milwaukee office. Rowlett held the exclusive listing to market the property on behalf of the sellers, JMS Commercial Investment Properties, LLC, and Joe Siegel Properties, LLC. In addition to representing the sellers, he also procured the buyer, Ideal Properties of Central Wisconsin, LLC, resulting in a fully brokered investment sale.
Rowlett noted that the closing highlights ongoing demand among investors for high-quality, net-lease assets. He commented that the transaction delivered a smooth process and a successful outcome for both buyer and seller. The deal underscores continued capital allocation into newer, single-tenant retail properties with corporate-backed leases and built-in rent growth in established retail corridors.
