These are the 10 best commercial properties among 300-400 daily listings between $1M-$30M in all 50 US states listed by CBRE, Marcus Millichap, SVN, etc. The properties are selected based on various criteria: price, cap rate, and more (please read "How properties are selected" article.)
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1.Davita Dialysis Center in Kenner, LA: 6000 SF dialysis center built in 2002 on 1 ac lot in middle-class area in North West New Orleans suburbs (AHI $71K/yr). 100% NNN lease to Davita (NYSE: DVA). NOI $120K/yr with annual 3% rent bump. $1.35M. 8.87% cap.
2.Shopping Center in Salem, VA: 82,033 SF neighborhood center built in 1989 on 9.57 acres corner lot in stable Roanoke metro. Anchored by Kroger supermarket and CVS. 99% NNN leased with just 1 small 900 SF unit vacant. NOI $771K/yr. $9.25M. 8.34% cap.
3.On the Border restaurant in Saint Charles, IL: 6488 SF Mexican Grill franchised restaurant built in 2000 in front of Charlestowne Mall in growing (39% since 2000) and affluent Chicago metro (AHI $131K/yr within 1 mile). 100% NNN leased. Tenant just exercised 5 yrs option. NOI $84K/yr. $1.1M. 7.64% cap.
4.Shopping Center in Elk Grove, CA: 12,000 SF bank-owned shopping center built in 1999 on 1.1 acres lot in high growth (34%) & high income (AHI $101K/yr) Sacramento metro. 100% NNN leased by 8 tenants. NOI $257K/yr. $2.95M. 8.73% cap.
5.Walgreens in Alpharetta, GA: 14,550 SF drug store built in 2008 on 1.85 acres corner parcel in most wealthy (AHI $130K/yr) Atlanta NE suburbs. 25 yrs NNN lease. NOI $438K/yr. $6.17M. 7.1% cap.
6.Office Building in Miami, FL: 19,464 SF 2-story office building near Miami International Airport. 100% leased by Avionics International. NOI $350K/yr. $3.85M. 9.1% cap.
7.Arby’s in Las Vegas, NV: 3100 SF fast food restaurant built in 2005 on .61 ac outparcel in the wealthy SW Las Vegas (AHI $96K/yr). 20 yrs absolute NNN lease with 15 yrs remaining to a franchisee with 80 restaurants. NOI $137K/yr with rent bump every 5 yrs. $1.833M. 7.5% cap.
8.Benihana Restaurant in Coral Springs, FL: 7107 SF Japanese Steakhouse on 1.95 acres lot on a prime commercial corridor in middle class Fort Lauderdale metro. 20 yrs absolute NNN corp lease with 18 yrs remaing. NOI $260K/yr. with 10% rent bump every 5 yrs. $3.25M. 8% cap.
9.Apartments in Austin, TX: 36-unit 25,200 SF apartments on 1.05 acres lot in strong income area. Proforma NOI $103K/yr. Price reduced from $1.2M to $1.1M.
10.Wendys in Tucker, GA: 2918 SF restaurant on .8 acres lot across Publix Supermarket the in high income (AHI $84K/yr) Atlanta metro. 100% NNN leased thru 2025. NOI $84K/yr. with 1.5% annual rent bump. Tenant has been at this location for 20 yrs and has just renovated the building. Store with $1M in annual revenue. $1.086M. 7.75% cap.
Welcome new investors. Each property has a brief description and an one-page flyer (attached). For a full marketing brochure, please email to maria@transmercial.com. Previous lists are posted on Transmercial’s blog.
NOI: Net Oper Income—income after tax, insurance and maintenance expenses paid.
AHI: Avg. Household Income
NNN: Triple net lease in which tenants pay taxes, insurance and maintenance expenses.
NNN-: Triple net lease with landlord responsible for roof and structure.
1.Shopping Center in Chicago Heights, IL: 35,673 SF 6-unit shopping center on over 3 acres lot in Southern Chicago suburbs. Anchored by 3 national tenants: Dollar Tree, Rent A Center., and Autozone. 100% NNN leased. NOI $540K/yr. $6.350M. 8.5% cap.
2.Single tenant retail center in Homestead, PA: 2907 SF free-standing retail center on .87 ac lot in 1.5 Million SF water-front Lifestyle center anchored in Pittsburg metro. Surrounded by Target, Giant Eagle, and Dick's Sporting Goods, Macy's, Loews Theater, Costco, Bed, Bath & Beyond, Best Buy, Barnes & Noble, Marshalls, Old Navy and Lowe's. 100% NNN leased to Vitamin Shoppe (NYSE: VSE). NOI $139K/yr. $1.744M. 8% cap.
3.Starbucks Strip Mall in Pensacola, FL: 3850 SF strip center built in 2008 on 1.25 acres lot. 100% NNN leased to Starbucks and a local Orthodontist. NOI $185K/yr. $2.05M. 9.03% cap.
4.Advance Auto Parts in Lawrenceville, GA: 7000 SF auto parts center built in 2007 on 1.6 acres lot in middle class Northeast Atlanta suburbs. 15 yrs NNN lease with 12 yrs remaining. NOI $139K/yr. $1.792M. 7.8% cap.
5.Applebee’s in Mesa, AZ: 5934 SF family restaurant built in 1998 on .9 ac outparcel in strong income Phoenix metro. 15 yrs absolute NNN lease to an operator with 90 locations. NOI $213K/yr with annual rent bump. $2.509M. 8.5% cap.
6.Family Dollar Store in Calumet City, IL: 8000 SF dollar store on .6 ac lot in Chicago metro. 10 yrs NN lease. NOI $110K/yr. $1.257M. 8.75% cap. Recession resistant tenant.
7.Mixed Use in San Fran, CA: 3438 SF 5-unit mixed-used bank-owned building with 2 retail units on 1st floor and 3 units residential on 2nd floor in affluent area with AHI $124K/yr within 1 mile. NOI $96K/yr. $1.3M. 7.39% cap.
8.Arby’s in Colorado Springs, CO: 3246 SF restaurant built in 2005 on .83 acre outparcel to a shopping center anchored by King Soopers Grocery. 15 yrs absolute NNN lease with 10 yrs remaining to the largest Arbys franchisee with 260 locations. NOI $129K/yr. with 7.5% rent bump every 5 yrs. $1.7M. 7.59% cap.
Welcome new investors. Each property has a brief description and an one-page flyer (attached). For a full marketing brochure, please email to maria@transmercial.com. Previous lists are posted on Transmercial’s blog.
NOI: Net Oper Income—income after tax, insurance and maintenance expenses paid.
AHI: Avg. Household Income
NNN: Triple net lease in which tenants pay taxes, insurance and maintenance expenses.
NNN-: Triple net lease with landlord responsible for roof and structure.
1.Shopping center in Montgomery, AL: 25,675 SF shopping center built in 1986. Anchored by 8173 SF Dollar General and 7920 SF Small Smile Dentistry. 100% occupied. Gross income of $200K. $1.25M.
2.Apartments in Burbank, CA: 10-unit 3-story 7913 SF apartments built in 1989 in upper middle class (ANI 92K/yr w/i 1 mile) North of Beverly Hills. 17 covered parking spaces on 1st floor. No rent control. NOI $100K. $1.675M. 6% cap.
3.Bank owned Apartments in Sacramento, CA: 62-unit 36,950 SF 2-story apartments in strong rental market. 95% occupied. Amenities include central heat and air, patios/balconies selected units; two on-site laundry rooms, clean and functional pool, off-street gated parking. NOI $179K/yr. $2M. 8.95% cap.
4.Walgreens in Aurora, CO: 14,820 SF drugstore to be completed in 2/2011 in middle-class Southwest Denver suburbs. Across from Big Lots anchored shopping center. 25 yrs NNN lease. NOI $557K/yr. $7.686M. 7.25% cap.
5.Strip Center in Elgin, IL: 9975 SF strip mall on 1 acre outparcel to a 150,000 SF Walmart in growing, high income (AHI $87K/yr w/I 1 mile radius) Chicago suburbs. Anchored by a 6000 SF Fed Ex/Kinko. 90% occupied. NOI $207K/yr. $1.971M. 10.5% cap.
6.Retail Center in Dallas, TX: 7240 SF on ¾ ac lot with all units facing the main road. 100% NNN leased by 5 tenants. NOI $93K/yr. Just $975K. 9.5% cap.
Welcome new investors. Each property has a brief description and an one-page flyer (attached). For a full marketing brochure, please email to maria@transmercial.com. Previous lists are posted on Transmercial’s blog.
NOI: Net Oper Income—income after tax, insurance and maintenance expenses paid.
AHI: Avg. Household Income
NNN: Triple net lease in which tenants pay taxes, insurance and maintenance expenses.
NNN-: Triple net lease with landlord responsible for roof and structure.
1.Oil Changers in San Jose, CA: 3100 SF single-tenant auto service center built in 1989 on .45 ac lot on a major artery. 100% NNN leased till 2017 to a tenant with 37 locations in CA. tenant has been at this location for 20 yrs. NOI $82K/yr. $1.17M. 7% cap. Buyer to assume $700K loan at favorable rate of 5.75% till 2015.
2.Apartments in Seattle, WA: 9-unit apartments in a wealthy Wallingford (AHI $99K/yr) near the University of Washington. 100% occupied. NOI $59K/yr. $1.025M. 5.8% cap.
3.Medical Office Condo in Winston Salem, NC: 4770 SF class-A medical office condo in 53,900 SF office complex in a growing city. 100% NNN leased to Dr. Lee Kirsch is an accomplished plastic and reconstructive surgeon in Winston-Salem. NOI $75K/yr. $775K. 9.79% cap.
4.Apartments in Anaheim, CA: 7-unit apartments in a quiet, stable middle-class city. Gross income $80K/yr. $849K. 6% cap.
5.Pep Boys in Albuquerque, NM: 17,925 SF auto parts and service center on 1.32 acres lot near I-25. 15 yrs NNN corp lease to Pep Boys (NYSE : PBY) with 13 yrs remaining. NOI $198K/yr. with annual 1.5% rent bump. $2.647M. 7.5% cap.
6.Shopping Plaza in Clearwater, FL: 18,495 SF shopping center built in 2007 on 1.88 acres lot in middle-class Tampa with AHI $83K/yr. 85% NNN leased. NOI $319K/yr. $3.978M. 8.25% cap.
7.Walgreens in Medford, OR: 14,820 SF brand new drug store in a stable city. 100% absolute NNN leased till 2035. NOI $475K/yr. $6.46M. 7.35% cap.
8.Retail Center in Denver, CO: 9529 SF retail center in fast growing (31% since 2000) & high income area (AHI $82K/yr within 1 mile). 100% NNN leased by 5 tenants. NOI $186K/yr. $2.2M. 8.47% cap.
9.Medical Center in Rowlett, TX: 16,117 SF class-A medical center on 2.5 acres lot adjacent to Home Depot in high income (AHI $88K/yr) Dallas suburbs. 90% NNN leased to 3 medical tenants with 1 small vacant unit. Actual NOI $232K/yr. $2.8M. 8.3% cap.
Urgent Care Center in Westminster, CO: 6000 SF single-tenant urgent care center on .45 ac outparcel to a shopping center anchored by Albertson supermarket. Across from Wal-mart in Denver metro. 15 yrs NNN lease to Guardian Urgent Care with 3 locations. NOI $155K/yr with 1.5% annual rent bump. $1.794M. 8.67% cap.
Jack In The Box in Los Angeles, CA: 1591 SF restaurant on a signalized corner lot in a densely-populated are with over 1M residents within 5 miles ring. Renovated in 2005. New 20 yrs absolute NNN lease to a franchisee with 18 locations. NOI $144K/yr with rent bump every 5 yrs. Store with strong sales of over $2.2M (low 6.5% rent to income, e.g. highly profitable location). $1.92M. 7.5% cap.
Strip Center in Corona, CA: 3835 SF 2-unit strip center on .28 acre corner lot in a stable and strong income area. 100% NNN leased with below market rent. NOI $60K/yr. $995K. 6.09% cap. Upside potential.
Shopping Center in Redding, CA: 44,246 SF shopping center on over 3 acres lot in Northern CA. 100% leased by 14 tenants. NOI $434K/yr. $5.498M. 7.91% cap.
Office Building Alpharetta, GA: 15,800 SF 2-story 10-yr-old multi-tenant office building on 2.21 acres lot in affluent Atlanta suburbs (AHI $132K/yr). 100% leased. NOI $204K/yr. $2.5M. 8.16% cap.
Medical Office Building in West Covina, CA: 25,836 SF 2-story single-tenant office building on 1.73 acres lot in high income area near Queen of the Valley Hospital and Westfield West Covina Mall. Renovated in 2006. 20 yrs NNN leased to West Covina Medical Group with 16 yrs remaining. NOI $762K/yr. with 3% annual rent bump. Tenant has been practicing in the area for 50 yrs. $9.25M. 8.25% cap.
Apartments in San Diego, CA: 6-unit 4540 SF apartments in excellent North Park area. 100% occupied. Gross income of $780K/yr. $850K. 6.19% cap.
Burger King in Sterling Heights, MI: 2175 SF restaurant built in 2007 on ¾ ac outparcel to a shopping center anchored by Lowes and Target in upper middle class Detroit suburbs (AHI $85K/yr). New 20 yrs absolute NNN lease to a franchisee with 18 locations. NOI $112K/yr with 10% rent bump every 5 yrs. Strong with strong annual revenue of over $1.4M, i.e. profitable. $1.333M. 8.4% cap.
Walgreens in Fort Myers, FL: 14,820 SF drug store built in 1995 on 2.6 acres lot in growing & high income area with AHI $86K/yr. 100% NNN- leased. NOI $224K/yr. Store has est. annual sales revenue of $5M (very low 4.48% rent to revenue ratio, i.e. highly profitable location). Price reduced from $2.63M to $2.24M. 10% cap. Note: while the tenant has an option to terminate the lease in 2015, Transmercial believes the tenant won’t do so since the store is highly profitable.
Applebee’s in Mesa, AZ: 5934 SF restaurant built in 1998 on .9 acre outparcel at a signalized corner in growing Phoenix metro. New 15 yrs NNN lease to the 12-th largest franchisee with in the US with 90 Applebee’s locations. NOI $213K/yr. with 1% annual rent bump. $2.509M. 8.5% cap.
1.Extended Stay Hotel in Bentonville, AR: 118-unit 44,700 SF 4-story hotel built in 2008 on 1.87 ac lot near the airport. Fast growing (65% growth since 2000) middle class area where Walmart headquarters is located. $3.3M.
2.Short-sale Strip Center in Mesa, AZ: 10,870 SF strip center completed in 2007 on 1.1 acres lot in high growth are in Phoenix metro. 100% NNN leased by 8 tenants. NOI $126K/yr. Loan balance of $1.65M. Lender has approved $1.2M. 10.5% cap.
3.Burger King in Sterling Heights, MI: 4164 SF fast food restaurant on ¾ ac outparcel to a shopping center anchored by Bally’s, Big Lots, Pier 1 Imports. Renovated in 2010. Across from Target and 150-store Lakeside regional Mall in growing (12% wince 2000) middle upper class (AHI $83K/yr) Detroit suburbs. New 20 yrs absolute NNN lease to an experience operator. NOI $92K/yr. with 10% rent bump every 5 yrs. Low 8% rent to revenue ratio, i.e. profitable store. $1.095M. 8.4% cap.
4.Shopping Center in Phoenix, AZ: 43,276 SF 15-unit shopping center on over 6 acres lot on Baseline road, a major commercial corridor. Anchored by Family Dollar and Fresenius Dialysis center. Adjacent to Big Lots!, Checker Auto, Kmart, and Frys Grocery. 75% NNN leased. Seller will guarantee/master lease to 95% for 2 yrs. NOI $445K/yr. $4.7M. 9.5% cap.
5.Apartments in Los Angeles, CA: 24-unit apartments on .42 acre lot directly across from Chester Washington golf course. Strong income area with no rent control. 100% occupied. NOI $174K/yr. $2.2M. 7.94% cap.
6.Bank-owned Apartments in Long Beach, CA: 8 unit apartments built in 1987 on .15 ac lot in middle class area. 12 covered parking spaces. Renovated in 2008. Proforma NOI $89K/yr. $1.12M. 8% cap.
7.Apartments in Concord, CA: 9-unit garden-style apartments on ¼ ac lot in a high income San Fran Bay area (AHI $100K/yr). 90% occupied. NOI $85K/yr. $1.175M. 7.25% cap. Seller motivated.
1.Retail center in Spring, TX: 10,500 SF strip center built in 2005 in fast growing (84%) middle class (AHI $82K/yr) Northern Houston suburbs. 100% NNN leased by 5 tenants. NOI $159K/yr. $1.768M. 9% cap.
2.Shopping Center in Jacksonville, FL: 94,164 SF shopping center on 9.2 acres lot in prime commercial corridor just off I-295 (99,000 vehicle per day). 100% NNN leased to 3 national and regional tenants: Best Buy, Ashley Furniture, and George’s Music with low rent (avg $.60/SF). Surrounded by numerous national tenants: Office Depot, Pier 1 Imports, Burlington, Petsmart, Sports Authority, Sam’s Club, Target, Home Depot, and 955,000 SF Orange Park Mall. NOI $661K/yr. $8.262M. 8% cap.
3.Apartments in Arlington, TX: 57-unit apartments on 2 acres lot in a middle class area in Dallas metro. NOI $160K/yr. $1.59M. 10.1% cap.
4.Apartments in Lithonia, GA: 280-unit apartments complex in Atlanta metro. Property had $2.4M renovation in 2007. NOI $576K/yr. $7M. 8.23% cap.
5.Apartments in Houston, TX: 356-unit apartment on 12.13 acres lot with average size of 859 SF/unit. 90% occupied. Current NOI $398K/yr. $6.25M. 6.36% cap. Just $17.5K/unit. Upside potential.
6.Shopping Center in Winter Park, FL: 15,180 SF shopping center on a busy artery in Orlando metro. 100% NNN leased to 5 tenants. NOI $192K/yr. $2.26M. 8.5% cap.
7.Neighborhood Center in Clearwater, FL: 40,500 SF 7-unit shopping center on 3.74 acres lot in Tampa metro. Anchored by Publix Supermarket till 2022. 97% NNN leased with just one small vacant unit. NOI $536K/yr. $6.9M. 7.75% cap.
8.Shopping Center in Lake St Louis, MO: 52,081 SF shopping center built in 2008 just off Hwy 40 exit in fast growing (66% growth since 2000) and affluent (AHI $109K/yr) St Louis suburbs. Anchored by Sports Authority and directly Between Wal-Mart & Lowe's. 97% NNN leased. NOI $576K/yr. $6.663M. 8.65% cap.
9.Apartments in Long Beach, CA: 16-unit 2-story well-maintained apartments. 100% occupied. NOI $103K/yr. $1.28M. 8.1% cap.
10.Shopping Center in Colorado Springs, CO: 26,416 SF 12-unit shopping center built in 1996 on 2.81 acres parcel on a major artery. 95% NNN leased with just 1 small vacant unit. NOI $337K. price reduced from $4.1M to $3.85M. 8.75% cap.
1.Fantasy Inn in South Lake Tahoe, CA: rare upscale 53-room 29,507 SF themed hotel and wedding chapel (www.fantasyinn.com) built in 1993 on 1.377 acres lake front lot in a wealthy resort area (AHI $109K/yr). Each room has oversized in room whirlpool spa. Hosting over 500 weddings/yr. Adjacent to casinos. NOI $652K/yr. $6.1M. 10.7% cap.
2.Tire Plus Auto Service Center in Sparks, NV: 7773 SF Tire Plus auto center under construction on 1.27 acres outparcel to Home Depot in growing Reno metro. Across from Costco, Best Buyer & Michaels. 15 yrs NNN lease with guaranty from Bridgestone Retail Operations, LLC. NOI $245K/yr with 10% rent bump every 5 yrs. $3.274M. 7.5% cap.
3.Apartments in Houston, TX: 216 unit apartments just one block from Westwood country club. 95% occupied. NOI $473K/yr. $2.95M. 16.06% cap. Just over $13.5K/unit.
4.Strip Mall in Aurora, IL: 4522 SF strip center built in 1999 on .37 ac corner lot in Chicago metro. 100% leased by 4 tenants. NOI $74K/yr. $850K. 8.69% cap.
5.Dialysis Medical Center in Dublin, OH: 5778 SF dialysis center adjacent to Dublin Methodist Hospital Campus in fast growing (35%) & affluent Columbus metro (AHI $107K/yr). 100% NNN leased to Davita Dialysis, a Fortune 500 company with 7 yrs remaining. NOI $76K/yr. $995K. 7.7% cap.
6.Office Building in Charlotte, NC: 33,867 SF 3-story 4-yrs-old office building developed on 5.35 acres lot in a middle class area. Anchored by ECPI, a college of Technology, Business and health Sciences. 93% leased. NOI $439K/yr. $4.145M. 10.6% cap.
7.Fourplex in San Clemente, CA: 3500 SF fourplex in a affluent city (AHI $129K/yr) just 2 blocks from San Clemente pier/beach. 100% occupied. NOI $48K/yr. $999K.
8.Best Buy in Kenosha, WI: 30,000 SF single-tenant retail center built in 2008 on 3.8 acres on I-94 as a part of a regional shopping center in a fast growing (52% since 2000) & upper middle class city North of Chicago. 100% NNN leased till 2019 to Best Buy, #1 electronic retailer with BBB S&P rating. NOI $510K/yr. $7.034M. 7.25% cap.
9.Davita Medical in Freeport, NY: 18,588 SF 2-story dialysis center renovated in 1995 in densely-populated (430K resident within 5 miles ring) & wealthy (AHI $110K/yr) New York suburbs. Long term NNN lease to Davita (NYSE: DVA). Tenant invested over $4M in this building. NOI $367K/yr. $4.444M. 8% cap.
10.Office Depot in Charlotte, NC: 17,500 SF single-tenant retail center built in 2005 on a heavily travel artery with easy access to I-485 in fast growing area in Charlotte. 10 yrs NNN lease with 5 yrs remaining. NOI $241K/yr. with 10% rent bump each options. $2.67M. 9.75% cap.
1.Strip Center in New Bern, NC: 16,000 SF recently renovated strip center in fast growing South of Raleigh close to Hwy-70/17. 100% NNN leased by Mount Olive College and health care providers. NOI $289K/yr. $2.950M. 9.8% Cap.
2.Retail center in Glendale, AZ:21,440 SF single-tenant retail center on 1.82 acres lot at highly trafficked intersection in Phoenix metro. 100% NNN corp lease to Savers (www.savers.com), a thrift store chain with over 120 locations (S&P B+ rating) till 2017. NOI $217K/yr. with annual rent bump. $2.635M. 8.25% Cap.
3.Burger King in Valdosta, GA: 2859 SF fast food restaurant constructed in 1997 at main retail corridor near Hwy-401 across from 560,000 SF Valdosta Mall. 20 yrs NNN- corp lease with 8 yrs remaining. NOI $88K/yr. with 15% rent bump each option. $1.1M. 8% Cap.
4.Shopping Center in Bolingbrook, IL: 17,960 SF attractive shopping center built in 2003 on 3 acres lot just off I-355 exit in high income Chicago metro. Shadow-anchored by Meijer’s Supermarket, Macy’s and IKEA with excellent visibility. 100% leased. $5.4M. 8.81% Cap.
5.Tuffy Auto in Naples, FL: 5100 SF 2-yrs old Tuffy Auto on .89 acre autparcel to Sweetbay Supermarket anchored center. Long absolute NNN corp lease with 18-years remaining. NOI $166K/yr. with 2% annual rent bump. $2.226M. 7.5% Cap.
6.Bank Owned Retail Building in Richland, WA: 31,980 SF consisting of two-retail center anchored by ACE Hardware in fast growing (68.52%) affluent (AHI $100K/yr) neighborhood. 85% NNN leased. NOI $300K/yr. $3.5M. 8.5% cap. Upside potential when fully leased.
7.Apartments in Tucson, AZ: 33-units well-maintained multifamily apartment complex on 2.16 acres of land in fast growing area. 94% leased. NOI $91K/yr. $1.090M. 8.43% Cap.
8.Shopping Center in Temecula, CA: 20,500 SF shopping center just blocks from Fwy-15. 100% leased by six tenants. NOI $254K/yr. $3.3M. 7.7% Cap.
NOI: Net Oper Income—income after tax, insurance and maintenance expenses paid.
AHI: Avg. Household Income
NNN: Triple net lease in which tenants pay taxes, insurance and maintenance expenses.
NNN-: Triple net lease with landlord responsible for roof and structure.
1.Plastic & Cosmetic Surgery Center in Plano, TX: 11,000 SF class-A surgery center on 1.25 acres lot in affluent Dallas suburbs. New 15 yrs absolute NNN lease to a Dr Robert Wilcox, a successful Plastic Surgeon (www.drwilcox.com) with over 20 yrs of experience. NOI $363K/yr with 2% annual rent bump from the 3rd year. $4.033M. 9% cap.
2.Retail plaza in Coconut Creek, FL: 19,194 SF class-A retail multi-tenant center built in 2004 on 3 acres lakeview lot North of Fort Lauderdale. 100% NNN leased. NOI $344K/yr. Price reduced from $5.2M to $4.9M. 7.5% cap.
3.Strip Mall in Mesa, AZ: 6773 SF strip mall as part of a bigger shopping center just off Superstition Fwy. 100% NNN leased by 4 tenants. NOI $171K/yr. $2.194M. 7.8% cap.
4.Hooters Restaurant in Downers Grove, IL: 9744 SF restaurant on 1.43 acres lot on a major artery with easy access to I-355 and I-88 in wealthy Chicago suburbs (AHI $95K/yr). Long term NNN lease. Store with over $4.4M in sales. NOI $260K/yr. $3.040M. 8.55% cap.
5.Burger King in Rogers, AR: 3621 SF restaurant on .95 ac corner lot in a fast growing city South of Bentonville (headquarters of Walmart). Renovated in 2000. New 20 yrs NNN lease to a franchisee with 9 locations. Store with strong sales of over $1.89M in 2009. NOI $144K/yr with 1.5% annual rent bump. $1.6M. 9% cap.
6.Apartments in Round Rock, TX: 224 unit 3-story class-A apartments developed in 2009 in fast growing, high income Austin metro within walking distance to major employer campuses. Amenities include resort-style swimming pool, clubroom, business center and fitness center. Over 90% occupied. Unpriced.
7.Shopping Center in Lacey, WA: 23,145 SF 14-unit shopping center on 2.29 acres parcel in growing and middle class Tacoma metro. 94% leased. NOI $409K/yr. $5.25M. 7.79% cap.
Chili’s Restaurant in Kansas City, MO: 5738 SF free-standing retail building constructed in 1997 on 1.56 acres of parcel. Great location: fast growing &high income area, in AMC Theaters, across from Wal-mart, Lowes, near 1,000,000 SF Zona Rosa Mall, and just off I-29. 20-years absolute NNN ground lease. 10% increases every 5-years. NOI $132K/yr. $1.6M. 8.25% Cap.
Shopping Center in Santa Cruz, CA:72,524 SF shopping center in an affluent coastal town (AHI $104K/yr) near 20 minutes from Silicon Valley. 100% NNN leased. Major tenants include: Regal Cinema 9, Urban Outfitters, Palo Alto Medical Foundation, Peet's Coffee and Tea. NOI $1.361M. $17.8M. 7.65% cap.
Ryan’s Restaurant in Spartanburg, SC: 10,902 SF single-tenant restaurant on 1.97 acres of land next to Wal-Mart Supercenter just off I-26. Long absolute NNN corp lease. NOI $240K/yr. $2.4M. 10% Cap.
Ryan’s restaurant in Beaumont, TX: 10,895 SF buffet restaurant on 1.94 acres parcel across from Parkdale Mall anchored by Macy's, Dillards, Bealls, JCPenney and Sears in middle class area. Long term corp NNN lease. NOI $250K/yr. $2.27M. 11% cap.
Major Franchised Hotel in Omaha, NE: 129-rooms hotel with many amenities: pool, business center, exercise room, and bus parking conveniently located at busy intersection close to I-80. NOI $598K/yr. $5.650M. 10.60% Cap.
Condominiums in Fresno, CA: 86-units well-maintained attractive condominiums with basketball courts pools & spa. 95% leased. NOI $295K/yr. $4.5M. 6.5% cap.
Shopping Center in Gainesville, GA: 63,361 SF shopping center anchored by Save-A-Lot grocery store at hard corner of a signalized intersection in fast growing and strong income. 92% leased. Actual NOI $433K/yr. $4.682M. 9.25% actual Cap.
Office Building in San Jose, CA: 2052 SF recently renovated office building directly across from Santa Clara County Buildings. Ideal for owner-user. $725K.
Shopping Center in Desert Hot Springs, CA: 17,200 SF shopping center on 1.61 acres of land shadow-anchored by a supermarket at signalized intersection. 100% leased. $2.1M. 9.5% Cap.
Shopping Center in Lacey, WA: 23,145 SF shopping center consisting of three buildings constructed 1998-2006 in growing (28.06%) middle-class (AHI $70K/yr) neighborhood just South of Tacoma. 94% leased. NOI $408K/yr. $5.250M. 7.79% Cap.
1.Retail Center in Tempe, AZ: 11,368 SF 7-unit Starbucks retail center on 1.56 acres lot close to Arizona State University. 83% NNN leased with just 1 vacant unit. Potential NOI $232K/yr. $2.55M. 9.1% potential cap.
2.Advance Auto Parts in Centennial, CO: 6124 SF single-tenant retail center under construction on ¾ acres lot in Denver metro. New 15 yrs NNN corp lease. NOI $133K/yr. $1.76M. 7.6% cap.
3.IHOP in Columbia, SC: 4658 SF family restaurant built in 1994 on .66 acre outparcel to Kroger Grocery Store just off I-26 with over 100,000 vehicles per day. 100% NNN lease with rare corp guaranty with 9 yrs remaining. NOI $165K/yr with 12% rent bump every 5 yrs. $1.92M. 8.61% cap.
4.Medical Plaza in La Mesa, CA: 26,562 SF single-story multi-tenant medical office building in San Diego metro with over 450,000 residents within 5 miles ring. 95% leased. NOI $363K/yr. $4.85M. 7.5% cap.
5.Shopping Center in Oakbrook Terrace, IL: 18,000 SF retail center in affluent Chicago metro (AHI $102K/yr). 98% leased. NOI $302K/yr. $2.85M. 10.6% cap.
1.Carl’s Jr in McAllen, TX: 3000 SF new restaurant on .81 acres corner lot directly across from Lowes, Wal-mart Supercenter and Sam’s Club. New 20 yrs absolute NNN lease to an operator with 139 locations. NOI $136K/yr with rent bump every 5 yrs. $1.7M. 8% cap.
2.Shopping Center in Riverton, UT: 32,384 SF new shopping center on 3.77 acres of land in a high growth (94% since 2000) and high income (AHI 93K/yr) city 17 mile SW of Salt Lake City. Next to Kohl's, Home Depot and across the street from Wal-Mart Super Center. 100% NNN leased by 3 national tenants: Staples (10 yrs lease), Shoes Carnival (10 yrs lease) and Dollar Tree (5 yrs lease). NOI $409K/yr. with rent bumps. $5.117M. 8% cap.
3.Shopping Center in Portland, OR: rare 99,438 SF neighborhood shopping center owned by General Growth Properties (owner of 200 regional malls in the US) on 11 acres corner lot with easy access to I-84 in stable city. Anchored by Safeway supermarket. 95% NNN leased. NOI, cap rate and price not avail.
4.Howard Johnson Inn in Dallas, TX: 105-unit 3-story inn built in 1985 on 1.49 acres lot. I-30 visibility with over 159,000 vehicles per day. Recently renovated. $4.5M.
5.Church’s Chicken in McAllen, TX: 1800 SF restaurant built in 2007 in a fast growing city (66% since 2000). 100% NNN corp leased till 2022. NOI $94K/yr. with 10% rent bump every 5 yrs (next increase in 2012). $1.1M. 8.56% cap.
6.Shopping Center in Wylie, TX: 12,160 SF 3-yr-old retail center on 1.2 acres parcel direct across from Super Target and Kohl in affluent Dallas metro. 100% NNN leased by 6 tenants. NOI $266K/yr. $3M. 8.88% cap.
7.Apartments in San Diego, CA: 16-unit well-kept apartments built in 1984. 100% occupied with waiting listing for prospective tenants. Gross rent $133K/yr. $1.15M. 7.6% cap.
8.Apartments in San Diego, CA: 24-unit apartments on 1/3 acre lot near San Diego Bay. 100% occupied. NOI $131K/yr. $1.686M. 7.8% cap.
9.Kragen Auto Parts in Clovis, CA: 7002 SF Kragen Auto Parts built in 2006 on a corner lot. 15 yrs NNN corp lease to Kragen Auto (owned by O’Reilly Auto parts, NASDAG: ORLY) . NOI $130K/yr (to be increased to $144K/yr in 10/20111). Price just reduced to $1.95M. 7.38% cap (10/2011).
NOI: Net Oper Income—income after tax, insurance and maintenance expenses paid.
AHI: Avg. Household Income
NNN: Triple net lease in which tenants pay taxes, insurance and maintenance expenses.
NNN-: Triple net lease with landlord responsible for roof and structure.
Single tenant Retail Center in Smyrna, GA: 9504 SF free-standing single-tenant retail center on over 1 acres corner lot. 100% NNN- leased by Eckerk/Rite Aid till 2016. Being subleased to Pet Supermarket, a chain with 109 locations. NOI $156K/yr with rent increased to $161K/yr in 2011. $1.57M. 10% cap.
Pep Boys in Santa Fe, NM: 17,937 SF Auto parts and service center on 1.8 acres at a hard corner. Surrounded by Santa Fe Mazda & Volvo, Performance Buick Pontiac GMC, Hobby Lobby, Ace Hardware, Smith's Food & Drug, Office Depot, Petco, Payless Shoes, Shell Gas, and Wendy's. 15 yrs absolute corp NNN leased by Pep Boys (NYSE: PBY w/ S&P rating of B+). NOI $322K/yr with 1.5% annual rent bump. $4.297M. 7.5% cap.
Walgreens in Oakdale, CA: 15,026 SF brand new drug store on 1.16 acres lot near Modesto. New 25 yrs NNN lease. NOI $467K/yr. 6.714M. 7% cap.
Burger King in Phoenix, AZ: 3370 SF restaurant on .62 ac outparcel at the signalized intersection of two 6-lane arteries with 86,000 cars-per-day traffic count and almost 500K people within 5 miles ring. Renovated in 2009. 100% absolute NNN leased till 2028 by an operator with over 20 locations. NOI $123K/yr with rent bump every 5 yrs. Price reduced to $1.645M. 7.5% cap.
Walgreen's in Loxahatchee, FL: New 14,469 SF trophy drugstore on 2.75 acres lot in wealthy Palm Beach metro. New 25 yrs absolute NNN lease. NOI $560K. $8M. 7% cap.
Burger King in Tacoma, WA: 3723 SF restaurant with indoor play area built in 2002 on .69 acre outparcel to Big Lots, Safeway and K-mart anchored shopping center. 15 yrs NNN lease. NOI $139K/yr. Store with strong sales of over $1.6M/yr. $1.945M. 7.15% cap.
Apartments in Houston, TX:820-unit bank-owned apartments on 36 acres lot. 70% occupied. Potential NOI $1.718M. $11.6M. 13.6% potential cap. Just over $14K/unit.
Retail center in San Jose, CA:26,000 SF former Mazda dealer and service center on 3.25 acres corner lot in high income area with AHI over $100K/yr. $5.75M.
1.Arbys in Mundelein, IL: 4097 SF fast food restaurant built in 1986 on .88 ac outparcel to a neighborhood center anchored by Jewel Oslo supermarket (chain with 185 stores) and Burlington Coat Factory in wealthy (AHI $121K/yr) Chicago suburbs. 20 yrs NNN lease with 10 yrs remaining by an operator with 58 units. NOI $84K/yr. $1.05M. 8% cap.
2.Walgreens in Bee Cave, TX: 14,689 SF drugstore built in 2008 on 2.13 acres lot near Austin in one of the wealthiest (AHI $180/yr within 1 mile) area in TX. 100% NNN lease with 23 yrs remaining. NOI $346K/yr. $3.015M. 6.9% cap.
3.Strip center in Kansas City, MO: 6375 SF strip center built in 2009 on 1.45 acres outparcel to 600,000-Square-Foot Power Center Anchored by Target, Lowe's, Kohl's, Best Buy, Bed Bath & Beyond. 100% NNN leased by 2 national tenants. NOI $201K/yr. $2.24M. 9% cap.
4.Sprouts Farmers Market in Culver City, CA: 32,873 SF single-tenant retail center on 2.63 acres lot in a densely populated (over 700K residents within 5 miles ring), high income (AHI $100K/yr) North of LAX. Easy access to I-405 and Hwy 90. New 15 yrs NNN leased by growing Sprouts Farmers Market, founded in 2002 with 51 store in 4 states. Directly across the street from 1,000,000+ square foot Westfield Culver City regional mall anchored by Target, Best Buy, JC Penney and Macy's. NOI $754K/yr with $2/SF rent bump every 5 yrs. $11.63M. 6.5% cap.
5.Retail center in Houston, TX: 9463 SF 4-yr old retail center in a wealthy area with AHI $102K/yr. 100% NNN leased by 5 tenants: Snap Fitness, Triple Toys, Fioza Gourmet Coffee and Tea, UPS and Afton Oaks Cleaners. NOI $173K/yr. $2.035M. 8.5% cap.
6.Apartments in Irving, TX: 134-unit apartments on 5.2 acres lot in strong rental Dallas metro. Large floor plan units with avg SF of 900 SF. Profroma NOI $482K/yr. $3.45M. 14% potential cap.
7.Retail office Plaza in Castaic, CA: 22,400 SF 3-building retail office complex with I-5 visibility in fast growing (37%) and high income (AHI $94K/yr) LA county. 90% leased. NOI $293K/yr. $3.995M. 6.9% cap.
Fox & Hound Restaurant in Lone Tree, CO: 11,612 SF free-standing Fox & Hound restaurant on 2 acres of land located close to Park Meadows Mall/Hwy-470 in wealthy (AHI $117K/yr) Denver Southern suburbs. Surrounded by many national tenants. 20 yrs absolute NNN corp lease with 13 yrs remaining by an company that operates 130 restaurants in 30 states. NOI $194K/yr. with CPI-based rent increases every 5 yrs. $2.430M. 8% Cap.
Rite Aid Pharmacy in Burlington, NC: 14,470 SF newly constructed Rite Aid Pharmacy along main corridor in fast growing (39.24%) and high income (AHI $81K/yr) area. 20-years absolute NNN corp lease with 10% rent increases every 10-years. NOI $311K/yr. $3.686M. 8.45% Cap.
Travelodge in Tacoma, WA: 79-unit hotel built in 1987 on 1.41 acres lot with excellent I-5 visibility & access. Refurbished in 2008. NOI $394K/yr. $3.8M. 1038% cap.
Shopping Center in North Highlands, CA: 121,619 SF shopping center anchored by 60,849 SF Raley’s supermarket (have the same owner as Nob Hill), Hometown Buffet and Bank of America in Sacramento metro. 84% NNN leased. NOI $1.224M. $14.67M. 8.35% cap. Substantial upside when 100% leased.
Hooters Restaurant in Council Bluffs, IA: 4880 SF franchised restaurant built in 2008 on 1.5 acres parcel across from Mid-America Convention Center in Omaha metro. 15 yrs absolute NNN lease with 13 yrs remaining by experienced operators. Location with strong sales revenue. NOI $216K/yr. Price reduced to $2.335M. 9.25% cap.
Chase Banking Center in Tampa, FL: 7252 SF freestanding Chase banking center on 1 ac lot directly across from Lowes in middle class area. 100% NNN lease. NOI $196K/yr. $2.45M. 8% cap.
Bankruptcy sale of Retail/Office Center in Oakland Park, FL: 48,100 SF 2-story retail/office complex on 2.6 acres lot in Fort Lauderdale metro. 90% occupied. NOI $444K/yr. $4.695M. 9.46% cap.
Apartments in Orlando, FL: 19-unit upscale apartments as part of 236-unit garden style multifamily complex just North of 170 acres lake Orlando. Large 2-3 bedroom 1390-1570 SF units. Surrounded by high-end single-family homes in the $650,000 price range for lakeside homes and $370,000 for non-lakeside homes Convenient to championship golf courses, universities, employment centers, theme parks and shopping establishments. 100% occupied. NOI $129K/yr. $1.371M. 9.4% cap.
1.Apartments in Sacramento, CA: 64-unit newly-renovated apartments on 1.9 acres lot across from 40,000-student American River College (biggest college in CA). 92% occupied. NOI $278K/yr. $3.2M. 8.7% cap.
2.Strip mall in Stanton, CA: 6716 SF strip center in a densely-populated strong income area with over 650K residents within 5 miles ring. 100% leased by 6 tenants plus cell antenna with below market rents. NOI $86K/yr. $1.2M. 7.18% cap. Upside potential.
3.Shopping center in Federal Way, WA: 18,190 SF multi-tenant retail center on 1.49 acres lot on a major artery in middle-class Seattle metro. Excellent visibility. 100% leased. NOI $297K/yr. $4.25M. 7% cap.
4.Medical office building in Lawrenceville, GA: 5900 SF single-tenant medical office building in fast growing and high income Atlanta metro. 100% leased with 8 yrs remaining. NOI $124K/yr. $1.165M. 10.7% cap.
5.Rite Aid in Concord, GA: 10,908 SF drugstore built in 2002 on an outparcel to Food Lion supermarket anchored shopping center in affluent (AHI $96K/yr within 1 mile ring) Charlotte suburbs. 100% NNN leased till 2022. NOI $227K/yr. $2.119M. 10.75% cap.
6.Shopping Center in Renton, WA: 29,016 SF 12-unit shopping center on 2.2 acres lot in stable Seattle metro. 85% NNN leased. NOI $575K/yr. $6.75M. 8.52% cap.
1.Boston Market in North Richland Hills, TX: 3263 SF fast casual restaurant built in 1994 on .85 ac lot in growing Dallas metro. 20 yrs NNN lease with 17 yrs remaining from a corp with 525 locations in 28 states. NOI $72K/yr with up to 2% annual rent bump. $963K. 7.5% cap.
2.Shopping Plaza in Coconut Creek, FL: 19,194 SF upscale retail center built in 2004 on 3 acres lake-front lot in a fast growing area (55% growth since 2000) North of Fort Lauderdale. Part of a larger shopping center with CVS, 7-11 and Fidelity Federal Bank. 100% NNN leased by 10 tenants. NOI $385K/yr. $5.2M. 7.5% cap.
3.Apartments in Plano, TX: 12-unit well-maintained apartments on ¾ ac lot near Collin Creek Mall in high income (AHI $91K/yr) Dallas metro. 100% occupied. Gross income $104K/yr. NOI $65K/yr. Only $725K. 9% cap.
4.Burger King in Tacoma, WA: 3723 SF fast food restaurant with indoor play area built in 2002 on .69 acre outparcel to K-mart, Big Lots and Safeway. Store with strong sales of over $1.6M/yr—300K above national avg. NOI $139K/yr. $1.986M. 7% cap.
5.Shopping Center in Irving, TX: 124,173 SF 33-unit trophy neighborhood center on 11.7 acres corner lot in growing Dallas metro. Anchored by Tom Thumb supermarket (owned by Safeway), Rent-A-Center, and Chase. 94% NNN leased. NOI $1.182M. $15.76M. 7.5% cap.
6.Shopping Center in Brea, CA: 56,945 SF 19-unit shopping center on 4.69 acres corner lot in upper middle class (AHI $94K/yr) Orange county. Anchored by Vons Grocery (owned by Safeway). 88% NNN lease. NOI $1.238M. $15.5M. 8% cap.
7.Dollar General in Houston, TX: 9100 SF Dollar store in a fast growing and stronger income part of Houston. 100% NN leased till 2019. NOI $106K/yr. $1.217M. 8.75% cap. Recession resistant tenant.
8.Pep Boys Auto Service center in Riverside, CA: 4500 SF auto service center with 6 bays built in 1984 on .42 ac lot. Recently renovated. 100% NNN leased. NOI $42K/yr. Only $750K. 5.6% cap.
Every day there are about 300-350 new retail and office properties between $700K to $15M on the market in all 50 states listed by various companies. Out of these hundreds of listings, only the top 5-10 properties make it to the list that you see on this blog. By focusing on the short list of best properties, you will save time and are more likely to be successful with your investments.
Below are some of the selection criteria:
1.Price range: most investors look for properties between $700K and $15M.
2.Property types: most if not all investors of Trasnmercial want to invest in retail properties and office buildings where tenants sign long term low-risk NNN leases, i.e. tenants pay for property taxes, insurance and maintenance expenses, in favor of landlords. They prefer not to invest in apartments where leases are mostly riskier gross, i.e. landlords pay for taxes, insurance and unpredictable maintenance expenses. Besides, apartment tenants normally don’t have much money which may affect their ability to pay the rent on time.
3.Cap rate: the return of investment must be “reasonable”, e.g. generally higher than the interest rate. The cap rate is typically lower in CA and higher in other states. However cap rate is not everything.
4.Property condition: investors prefer properties with little deferred maintenance.
5.Demographics: the selected properties tend to be in growing, high income and bigger cities/metros as they have better chance to appreciate and easier to find tenants. Besides they are easier to sell if needed.
·You won’t see properties in an area where people are moving out, e.g. Detroit downtown. These properties are easy to buy but hard to sell. In addition, it’s hard to get attractive financing, if at all, for these properties.
·Properties in a middle of nowhere won’t make it to the lists. These are also easy to buy but hard to sell.
·Properties in cities where the average household income is way below the national average, e.g. $28,000/year, also won’t make it to the list as these are most likely high-crime areas.
6.Occupancy: close to 100%.
7.Good Visibility: properties tend to have most if not all units facing the road to show case the tenant businesses. Tenants love visibility. What’s good for tenants is also good for investors.
8.Great locations: properties on a major artery with heavy traffic, near the freeway exit, on corner lot, near a mall, on an outparcel to a shopping center.
9.Land: if land is not included then it does matter how beautiful the property is, it will not be selected. This is the type of property that is easy to buy but hard to sell.
10.Lease Type: most likely NNN leases.
11.Parking spaces: at least 4 spaces per 1000 SF of leasable space.. It’s hard to lease a retail property unless it has sufficient parking spaces.
12.Age: not over 20 yrs old unless the property is well-maintained or recently renovated.
13.Price per square foot: sometimes a property is selected because the price per SF is low, e.g. less than $200/SF for a retail property in California. The main reason for the selection is appreciation potential.
14.Low rent: there is upside potential if the rent is below market. When the leases expire, the rent is adjusted to market rent which increases the value of the property.
15.Financing: sometimes a property may be selected because it offers attractive financing. For example, the seller is willing to carry 80% LTV at low interest rate or buyer can assume a loan at 5.5% interest, fixed for 10 years. This in turn may increase the overall return or cash on cash. On the other hand, a property may be screened out because it is difficult to get reasonable financing. For example, in this tight credit market it is extremely difficult to get financing for a single-tenant mom-and-pop restaurant.
16.Misc: A property could be selected or screened out for other reasons
·If a property has a dry cleaner with onsite cleaning, it will not be selected due to potential soil contamination by a chemical called Perc used in the cleaning process.
·A property in an affluent Santa Monica, CA could be selected simply because it’s rarely available.
·A vacant restaurant in front of a mall in San Francisco Bay Area could make the list because it may have lots of interests from investors in CA.
If you are interested on a particular property and would like additional information, i.e. a brochure, please email to maria@transmercial.com. It’s good idea to provide Maria with:
The date the property was selected (not posted date.) This is on the subject of the post.
Name of the property, e.g. Walgreens in Dallas, TX.
You will notice that the properties are posted 2 weeks after the date they are selected. The reason for this 2-week delay is we don’t want other companies to take advantage of our research work. If you are an investor and would like to receive the list daily without two weeks delay, we invite you to join Transmercial investors club. Just send a “subscribe” email to iclub@transmercial.com. The daily list of best properties is emailed to members by 6PM PST, Monday-Friday. The email also contains a 1-page flyer for each selected properties with picture, address, and a brief description about the properties.
Membership to Transmercial investors club is FREE. More membership details are posted on www.transmercial.com/club.htm. Don’t worry; there are absolutely no obligations of anything from you to us for being a member. Of course, we hope that you like our work and will eventually ask us to represent you. However, it’s all up to you as you have no contractual obligations to us for anything.
1.Starbucks in Arlington, TX: 1750 SF Starbucks built in 2006 on .52 ac lot at a hard corner in middle-class (AHI $70K/yr) Dallas metro. Outparcel to Tom Thumb Grocery (Safeway) anchored shopping center. 100% NNN- lease with 6.5 yrs remaining and no early termination. NOI $73K/yr with 10% rent bump in Nov 2011. $943K. 7.75% cap now and 8.5% cap in 2011.
2.Apartments in San Jose, CA: 9-unit well-maintained apartments within walking distance to San Jose State University. High income area. 100% occupied. Gross income $75K/yr. $825K.
3.Bank-owned Apartments in Oakland, CA: 96-unit apartments on 2.95 acres lot near Oakland zoo. 85% occupied. Proforma NOI $476K/yr. $3.9M. 12.22% Proforma cap. Just over $40K/unit.
4.Pep Boys Auto in Austin, TX: 22,279 SF auto parts and service center on 2 acres lot with easy access to Loop 360 and Hwy 71. 15 yrs absolute NNN lease by Pep Boys (NYSE: PBY with S&P B+ rating). NOI $230K/yr with 1.5% annual rent bump. $2.978M. 7.5% cap.
5.Starbucks in McDonough, GA: 1750 SF Starbucks coffee built in 2007 on an outparcel across from 700,000 SF power center anchored by Home Depot, Belk, Super Target, Bed Bath and Beyond, Ross Dress for Less in a upper middle class Atlanta metro. 10 yrs NNN- with 7 yrs remaining and no early termination. NOI $87K/yr. $1.031M. 8.5% cap.
6.Olive Garden in McDonough, GA: 7399 SF Italian restaurant built in 2007 on 1.82 acres outparcel across in a fast growing (64% since 2000) upper middle-class (AHI $84K/yr) Atlanta metro. 10 yrs NNN corp. ground lease with 6.5 yrs remaining from Daren Corp (NYSE : DRI with BBB S&P rating). Note: you are buying land as tenant owns the building. NOI $120K/yr with 10% rent bump every 5 yrs. $1.65M. 7.25% cap.
7.La Quinta Inn in Livermore, CA: lender-owned 58-room hotel built in 2005 on 2.73 acres parcel just off I-580 in wealthy area with AHI over $127K/yr. Amenities include with 2200 SF conference room and in-door swimming pool. $3.8M.
I am the Chief Investment Advisor at Transmercial, formerly
eFunding, Inc., a Commercial Real Estate Investments company in San Jose, CA. I am in the top 5 commercial real estate expert author among over 500 on ezinearticles.com.
