Net Lease Industry

Lowest
Cap Rate

5.85%

Lowest cap rate over past 24 months

Average
Cap Rate

6.50%

12 mo avg with 5+ yr lease term


Overview

Christian Brothers Automotive is a growing name in the automotive service sector, offering a full range of maintenance and repair services with a customer-first, faith-based philosophy. Net lease locations are typically structured as 15- to 20-year absolute NNN leases with rent escalations every 5 years, and multiple renewal options.

The brand prefers free-standing buildings ranging from 4,500 to 5,500 square feet, typically situated on 0.75 to 1.25 acres, in suburban, high-traffic corridors near residential neighborhoods. Each location includes multiple service bays and on-site parking.

Average Property & Lease
Average Sale Price $1,800,000 - $4,000,000
Average NOI $160,000 - $220,000
Building SF 4,500
Lease Term 15 Years
Escalations 10% Every 5 Years
Stock Symbol N/A
CREDIT RATING
S&P

N/A

Moody's

N/A

TENANT DESCRIPTION

Christian Brothers Automotive was founded by Mark Carr in 1982 in Mission Bend, Texas, with a vision of delivering honest, transparent automotive care in a clean, inviting environment. Over time, it became known for offering a more personalized and ethical alternative to traditional auto repair shops.

The company began franchising in 1996 and has expanded steadily across the country, primarily focusing on suburban markets. Their model emphasizes customer service, faith-driven values, and strong community involvement.

PROS
  • 15–20 year absolute NNN leases (no landlord responsibility)

  • Prime suburban sites with strong visibility and access

  • Franchisee and corporate-backed locations available

  • Recession-resistant sector (auto repair demand remains stable)

CONS
  • Privately held – no public financial disclosures

  • Franchise-backed leases are more common than corporate guarantees

  • Limited credit ratings available – requires tenant financial review

COMPANY QUICK STATS
Founded 1982
Headquarters Houston, TX
Number of Locations 275
Revenue $1 B
Company Website https://www.cbac.com
Key Principal Donnie Carr