Grocery Outlet
| Price | $6,627,000 |
| Cap Rate | |
| NOI | |
| Lease Term | 15 Years |
| Lease Type | NNN, With Tenant Responsible For All Expenses Including Taxes, Insurance, Roof, And Nonstructural Maintenance |
| Rental Increases | 10% rental increases every five (5) years |
| Year Built | Q4 2019 |
| Building Size | 18,000 SF |
| Lot Size | 1.61 acres (70,132 SF) |
| Status | Sold |
| Lead Broker Information | 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 Senior Director 415.604.4288 scott.crowle@cushwake.com CA RE License #01318288 |
Investment Highlights
RARE NET LEASE TO STRONG GROCERY TENANT
» Long-term, 15-year lease with four five-year option periods
» Net lease provides ideal passive investment for an out-of-area investor
» 10% rental increases every five years, providing a hedge against inflation
» Grocery Outlet (NASDAQ: “GO”) is the nation’s largest extreme value grocery retailer, with more than 320 locations and over $2.29 billion in annual revenue
» Grocery Outlet’s recent IPO raised net proceeds of approximately $399.6 million, about $150 million more than initially expected
» Grocery Outlet is continuing its expansion nationally, with 32 new stores expected to open by year-end 2019
PROMINENT LOCATION IN PRIMARY RETAIL CORRIDOR
» Strategically located at the hard corner of Redberg Avenue and East Main Street, with excellent visibility and access to 12,700 vehicles per day
» East Main Street runs concurrent with Highway 70, the primary route through Plumas County
» Surrounded by a healthy mix of local and regional retailers, as well as several national tenants
CENTRAL LOCATION NEAR COMMUNITY AMENITIES AND TOURIST ATTRACTIONS
» Near Quincy Elementary School, which has a total enrollment of 315 students, and Quincy Junior-Senior High School, which has 316 students
» Close to Feather River College, which has 2,216 students and 223 employees
» Notable employers near the property, including Sierra Pacific Industries, with 299 employees
» Several recreational areas are near the property, including the Plumas-Sierra County Fairgrounds, which hosts a number of main events, including The High Sierra Music Festival and the state’s oldest county fair
NEW Q4 2019 CONSTRUCTION
» High-quality construction scheduled to be completed in Q4 2019
» Features latest Grocery Outlet store design and concepts
» New building, limiting near-term deferred maintenance or capital costs
Property Description
SOLD
The property is strategically located at the hard corner of Redberg Avenue and East Main Street, with excellent visibility and access to 12,700 vehicles per day. Through Quincy, East Main Street runs concurrent with Highway 70, the primary route through Plumas County. East Main Street serves as the city’s primary retail corridor, and the property is surrounded by a healthy mix of local and regional retailers, as well as several national tenants, including NAPA Auto Parts and Dollar General. The property is also a short distance from a shopping plaza anchored by Safeway and featuring Rite Aid, Dollar Tree, Round Table, and several others.
The property is close to important community amenities and popular recreational areas. The property is near Quincy Elementary School, which has a total enrollment of 315 students, and Quincy Junior- Senior High School, which has 316 students. The property is also close to Feather River College, which has 2,216 students and 223 employees. Other notable employers near the property include Sierra Pacific Industries, with 299 employees. Several recreational areas are near the property, including the Plumas-Sierra County Fairgrounds, which hosts a number of main events, including The High Sierra Music Festival and the state’s oldest county fair. The property is also close to the Plumas National Forest, a popular spot for hiking, camping, and other outdoor activities. Additionally, the property is surrounded by residential neighborhoods, which will be served by Grocery Outlet.
