Investment Summary
Price | $7,775000 |
Cap Rate | |
NOI | $420,000 |
Lease Term | 15 Years |
Lease Type | NNN, with Tenant Responsible for All Taxes, Insurance, Maintenance, and Repair, Excluding Structural Portions of the Premises |
Rental Increases | 10% Rental Increases Every Five (5) Years |
Year Built | 2020 |
Building Size | 20,000 SF |
Lot Size | 2.01 Acres (87,555 SF) |
Status | Sold |
Lead Brokers | Ryan Forsyth Cushman & Wakefield 415.413.3005 ryan.forsyth@cushwake.com CA RE License #01716551 Vincent Aicale Cushman & Wakefield 415.690.5522 vince.aicale@cushwake.com CA RE License #01728696 Michael T. Yuras, CCIM Cushman & Wakefield 415.481.0788 michael.yuras@cushwake.com CA RE License #01823291 Scott Crowle Managing Director 415.604.4288 scott.crowle@cushwake.com CA RE License #01318288 |
Investment Highlights
LONG-TERM NNN LEASE TO STRONG GROCERY TENANT
» 15-year NNN lease with four (4) five (5)-year option periods
» NNN lease provides an ideal passive investment for an out-of-area investor
» 10% rental increases every five years, providing a hedge against inflation
» Grocery Outlet is the nation’s largest extreme value grocery retailer, with more than 320 locations and over $2.29 billion in annual revenue
» Grocery Outlet is continuing its expansion nationally, with over 30 new stores in 2019
HIGH-VISIBILITY LOCATION ALONG MAJOR CALIFORNIA THOROUGHFARE
» High-visibility location in prominent Burney corridor, with access to 5,400 vehicles per day directly in front of the location
» Located along State Highway 299/Main Street, a major east-west California thoroughfare connecting five counties (Humboldt, Trinity, Shasta, Lassen, and Modoc)
» Within one mile of Burney Junior Senior High School and Burney Elementary School (combined 580 students)
» Projected 18 percent AAHI increase within five miles of the site in the next five years, poising Burney for significant growth
CENTRAL LOCATION NEAR COMMUNITY AMENITIES AND TOURIST ATTRACTIONS
» Two miles from Pit River Casino, a 9,000-SF casino featuring 150 slot machines, the River Rock Grill, and ample RV parking
» Minutes from seven hotels, significantly increasing foot traffic to the location
» Only Grocery Outlet location within a one-hour drive of the property
» Surrounded by a healthy mix of local and regional retailers, as well as several national tenants including McDonald’s, Safeway, NAPA Auto Parts, Subway, Chevron, and more
NEW 2020 CONSTRUCTION
» High-quality, new construction completed in 2020
» Features latest Grocery Outlet store design and concepts
Property Description
SOLD
The property is strategically located on Main Street, a high-visibility site in Burney’s most prominent corridor, with access to 5,400 vehicles per day directly in front of the location. The site is located along State Highway 299, a major east-west California thoroughfare connecting five counties (Humboldt, Trinity, Shasta, Lassen, Modoc). Visibility is increased by the site’s location within one mile of Burney Junior Senior High School and Burney Elementary School (combined 580 students). The property is primed to grow along with the surrounding area, with a projected 18 percent average annual household income increase within five miles of the site in the next five years.
Centrally located in Burney, the property is close to important community amenities and popular recreational areas. The site is two miles from Pit River Casino, Burney’s primary tourist attraction featuring a 9,000-SF casino, 150 slot machines, the River Rock Grill, and ample RV parking. Located in Burney’s primary retail area, the property is surrounded by a healthy mix of local and regional retailers, as well as several national tenants including McDonald’s, Safeway, NAPA Auto Parts, Subway, Chevron, and more. Additionally, the property is surrounded by seven hotels and lodges within a one-and-a-half-mile radius, which will be served by Grocery Outlet. It is also the only Grocery Outlet location within a one-hour drive of the property.