09-03: Walgreens, AAP, Staples, DaVita, Retail Centers

Below are the most commonly used acronyms:

• AHI: Avg. Household Income.  National average is about $55+K/yr.
• NOI: Net Operating Income.  It’s the income after all expenses (prop taxes, ins., maintenance) paid.
• NNN: Triple net lease in which tenants pay taxes, insurance and maintenance expenses.
• NNN-: Triple net lease with landlord responsible for roof and structure.  Used by Transmercial only.

1. Walgreens in Fredericksburg, VA: 14,820 SF brand new Walgreens at a hard corner location in growing & high-income (AHI $118K/yr in 1 mile) Washington DC metro. 25 yrs absolute NNN lease. $7.78M. 5.4% cap.
2. LongHorn Steakhouse (S&P BBB) in Dayton, OH: 5355 SF restaurant built in 2003 on 1.57 ac lot at a signalized corner location. Adjacent to Super Walmart. 100% absolute NNN corp ground lease (land is for sale) with 5 yrs left. NOI $71K/yr. $1.1M. 6.50% cap.
3. Advance Auto Parts in Spring, TX: 7000 SF auto parts retail center built in 2006 on 1.37 ac lot in fast growing & high income (AHI $111K/yr) Houston suburbs. 100% NNN lease with 9 yrs left. NOI $135K/yr. $2.079M. 6.50% cap.
4. Retail Center in Cincinnati, OH: 17,620 SF attractive retail center on over 1 ac lot. Close to Ford Plant and I-75. NNN leased with good tenant mix. Proforma NOI $140K/yr. $1.4M. 10% cap.
5. Shopping Center in Reynoldsburg, OH: 23,300 SF consisting of two retail buildings in growing Columbus suburbs. Near Taylor Square Shopping Center, with Marshalls, Jo-Ann, Walmart and Sam’s Club. Close to I-70. 93% NNN leased. NOI $443K/yr. $5.11M. 8.68% cap.
6. Retail Building in Kissimmee, FL: 13,250 SF well maintained retail building anchored by 7,500 SF Edwin Watts in Orlando suburbs. Close to Walt Disney World and I-4. 100% leased. NOI $199K/yr. $2.05M. 9.73% cap.
7. Staples in Phoenix, AZ: 20,390 SF Staples built in 2007 on 2.34 ac lot in fast growing (235.80% pop growth) area. Adjacent to Lowe’s & Goodwill. 100% NNN lease with 4 yrs left. NOI $328K/yr. $3.995M. 8.23% cap.
8. DaVita in Green Bay, WI: 14,600 SF well-kept 2-tenant medical office building.  100% leased to DaVita dialysis with 10 yrs left on the lease occupying 13,218 SF and Aurora Medical Group. Close to 547-bed St. Vincent Hospital. NOI $159K/yr with 2.5% annual rent increases. $1.99M. 8% cap.
9. Retail Center in Grove, IL: 15,703 SF retail center along busy corridor. In growing (299.78% pop growth) and affluent (AHI $134K/yr) Chicago metro. Good tenants mix. NOI $227K/yr. $2.528M. 9% cap.
10. Office Building in Clearwater, FL: 25,600 SF Class-B office building on 1+ ac lot in Tampa suburbs. Close to Clearwater Mall and Hwy-19. 100% leased to 27 tenants. NOI $156K/yr. $2M. 7.8% cap.

© Transmercial 2013