OFFERING SUMMARY
List Price: $1,920,423
CAP Rate: 8.25%
Number of Suites: 3
Gross Leasable Area: 9,800 SF
Year Built: 2004
OFFERING HIGHLIGHTS
- Minimal Landlord Responsibilities
- Aaron’s Corporate Lease Executed January 1, 2019
- Experienced Corporate U.S. Cellular Franchisee
- Original Tenants since Property Built in 2004
INVESTMENT OVERVIEW
The subject offering affords an incoming investor the opportunity to acquire a 9,800 square foot shopping center, anchored by Aaron’s Corporate. This building was built in 2004, and has been occupied by the tenants for close to 15 years. The previous operator of the Aaron’s business strategically chose to acquire the real estate in 2016 as this was one of the highest performing locations for their operations, and it has since become a virtually management-free asset. Following a 2018 acquisition of operations, Aaron’s corporate executed a seven-year lease in January of 2019, which further demonstrates their commitment to the site. Additionally, the two additional tenants have been in place since the property was built, and have regularly renewed their leases over the course of the last 15 Years.
This asset has minimal landlord responsibility, as the tenants are responsible for regular maintenance to the interior, servicing of the HVAC systems up to $2,000 per year, and all utilities associated with the building. The leases require the tenants to reimburse the landlord for their proportionate share of Taxes, Insurance, and CAM, paid as additional rent monthly. In the event that the actual cost TICAM is greater than the additional rent set forth, tenants and landlord will reconcile at year end to cover their proportionate share of the additional expenses.
