Investment Summary
Price | $2,900,000 |
Cap Rate | |
NOI | |
Lease Term | 20 Years |
Lease Type | Absolute NNN, with Tenant Responsible for all Taxes, Insurance, and Maintenance, Including Roof, Structure, and Parking Lot |
Rental Increases | 5% Rental Increases Every Five Years |
Year Built | |
Building Size | 7,900 SF |
Lot Size | 1.54 Acres (66,995 SF) |
Status | Sold |
Lead Brokers | Michael T. Yuras, CCIM Cushman & Wakefield 415.481.0788 michael.yuras@cushwake.com CA RE License #01823291 Scott Crowle Senior Director 415.604.4288 scott.crowle@cushwake.com CA RE License #01318288 Vincent Aicale Cushman & Wakefield 415.690.5522 vince.aicale@cushwake.com CA RE License #01728696 Ryan Forsyth Cushman & Wakefield 415.413.3005 ryan.forsyth@cushwake.com CA RE License #01716551 |
Investment Highlights
LONG-TERM ABSOLUTE NNN LEASE
» 20-year NNN lease with absolutely no landlord management, providing an ideal investment for an out-of-area investor
» 5% rental increases every five years, providing an excellent hedge against inflation
IMMEDIATE FREEWAY ACCESS IN RETAIL CORRIDOR
» Immediate access to U.S. Highway 27 (55,385 AADT), a main artery from downtown Chattanooga to the residential areas of Signal Mountain, Red Bank, Middle Valley, and more
» Excellent visibility and access to 33,860 vehicles per day on Signal Mountain Road
» Within walking distance of Signal Mountain Village, a large shopping center anchored by Walmart and featuring well-known brands like Great Clips, Dollar Tree, and Cato
PRIME CENTRAL LOCATION WITH STRONG CUSTOMER BASE
» Centrally located just over three miles from downtown Chattanooga
» Directly adjacent to Baylor School (1,040 students)
» Across from Komatsu (420 employees)
» Close proximity to several of the Chattanooga region’s most popular attractions, including the Tennessee Aquarium (780,000+ visitors per year), Tennessee River, and Signal Mountain
» Near the University of Tennessee at Chattanooga (11,533 students and 1,279 employees) and Erlanger Baroness Hospital (657 beds)
» Strong customer base provided by nearby schools, residential neighborhoods, and industrial employers
NEW CONSTRUCTION
» Features latest store designs and concepts
» New building, limiting near-term deferred maintenance or capital costs
Property Description
SOLD
The property is located just off of the signalized intersection of Raider Lane and Signal Mountain Road, with excellent visibility and access to 33,860 vehicles per day. Signal Mountain Road provides convenient access to U.S. Highway 27, located less than half a mile away, which has a traffic count of 55,385 vehicles per day near the property. U.S. Highway 27 serves as a main artery from downtown Chattanooga to the residential areas of Signal Mountain, Red Bank, and Middle Valley. Several notable retailers are located near the property. The property is within walking distance of Signal Mountain Village, a large shopping center anchored by Walmart and featuring well-known brands like Great Clips, Dollar Tree, Cato, and more. Other major retailers in the nearby area include Dollar General, Food City, Dunkin’ Donuts, Verizon, Burger King, and Valvoline, amongst others.
The property benefits from a strong customer base in the surrounding area. The property is directly adjacent to Baylor School, a private prep and boarding school that has 1,040 students. Other nearby schools include Red Bank Elementary School (695 students) and the University of Tennessee at Chattanooga (11,533 students). The property is also directly across from Komatsu, which has 420 employees, and is near other large employers; in total, over 99,000 daytime employees work within a five-mile radius of the property. The property is conveniently located just over three miles from downtown Chattanooga. Several of the Chattanooga region’s most popular attractions are located nearby, including the Tennessee Aquarium, which is rated among the best aquariums in America and draws more than 780,000 visitors each year. Other recreational areas that are close to the property include the Tennessee River and Signal Mountain.