Investment Summary
Price | $1,652,500 |
Cap Rate | |
NOI | |
Lease Term | 15 Years |
Lease Type | |
Rental Increases | 10% Rental Increases in Options |
Year Built | 2014 |
Building Size | 9,026 SF |
Lot Size | 1.06 Acres (46,360 SF) |
Status | Sold |
Lead Brokers | Scott Crowle Senior Director 415.604.4288 scott.crowle@cushwake.com CA RE License #01318288 Michael T. Yuras, CCIM Executive Managing Director 415.481.0788 michael.yuras@cushwake.com CA RE License #01823291 |
Investment Highlights
CORPORATE GUARANTEED LEASE WITH SCHEDULED RENT INCREASES
» Guaranteed by Dollar General Corporation (NYSE: “DG”)
» Scheduled rental increases in option periods, providing a hedge against inflation
ABSOLUTE TRIPLE NET LEASE
» Tenant is responsible for taxes, insurance, and all maintenance, including roof, structure, and parking lot
» No landlord management
» Ideal investment opportunity for an out-of-area investor
MAJOR NATIONAL TENANT WITH STRONG FINANCIALS
» Dollar General Corporation is rated “BBB” by Standard & Poor’s and “Baa2” by Moody’s
» Dollar General’s yearly revenues exceed $20 billion
» Dollar General operates 13,000 locations in 43 states and has plans for significant future growth
PRIME LOCATION IN LOUISIANA’S BAYOU REGION
» The Houma-Thibodaux MSA had the lowest unemployment rate in the nation in February 2014
» The Bayou Region is consistently ranked one of the strongest regional economies in the nation
» Forbes ranked the region in the top 35% of metro areas for job growth in 2013
Click Here to Download Offering Memorandum
Property Description
SOLD
The property is located at the signalized hard corner of Bayou Portuguese Drive and Highway 308, with excellent visibility and access to 9,552 vehicles per day. The property is just outside of downtown Larose, which is home to many local retailers and a number of national tenants, including Family Dollar, NAPA Auto Parts, and Merle Norman Cosmetic Studio. Several shopping plazas are located just over three miles from the property. The centers feature major retailers, including Burkes Outlet, AT&T, McDonald’s, Taco Bell, Popeyes, Rouses, AutoZone, and others.
The property benefits from its prime location on Bayou Lafourche, dubbed “the longest Main Street in the world.” The bayou is home to a number of large shipping operations, representing a significant portion of the area’s economy. Edison Chouest Offshore and Bollinger Shipyards, two of the area’s largest employers, are located just over a mile from the property. Additionally, the bayou and the roadway paralleling it lead to Port Fourchon on the Gulf of Mexico. Port Fourchon is one of the busiest ports in the U.S. and is a major employment center, with over 250 companies occupying the port.