AutoZone – Lakeland, FL
Fortis Net Lease is pleased to present this 12,000 SF AutoZone store located in Lakeland, Florida. The property is secured with a ten (10) Year Double Net (NN) Lease, leaving landlord responsible for only roof & structure (new roof installed in June 2018and has a 10-year warranty). The lease contains a 10% rent increase in year 6 of the primary term and four (5 year) options to renew, each with a 10% rental rate increase as well. The tenant paid for all improvements to the building which included new roof, HVAC, and complete interior buildout in 2018 (estimated to be $600K). The lease is corporately guaranteed by AutoZone, Inc. which holds a credit rating of “BBB”, which is classified as Investment Grade. The store is currently open with rent having commenced on 10/1/2018.
This AutoZone is highly visible as it is strategically positioned on S Florida Avenue which sees 38,762 cars per day, near the signalized intersection at Hillsboro St. The site is surrounded by major retailers like Walmart, Publix, Hobby Lobby, Bealls Outlet, Office Depot, Marshalls, & Ross Dress for Less. The five mile population from the site is 153,120while the one mile average household income is $77,233 per year, making this location ideal for an AutoZone. The five mile consumer spending is $1.6 Billion and the five mile population growth rate is 10.73%. With the current rent at $7.40 psf (LESS THAN 30% of the market rate for this area!), the potential for second generation rent is HUGE! This investment will offer a new owner continued success due to the financial strength and the proven profitability of the tenant. List price reflects a 4.00% cap rate based on NOI of $88,800.
• Double Net (NN) 10 Year Lease | New Roof in 2018 with 10-YrWarranty
• Tampa/St Petersburg MSA | 10% Rent Increase at Year 6
• Four (5 Year) Options | 10% Rental Increase At Each Option
• One Mile Household Income $77,233
• Five Mile Population 153,120 | Expected 10.73% Growth
• Five Mile Consumer Spending $1.6 Billion
• 38,761 VPD on S Florida Avenue | Near Signalized Intersection
• Investment Grade Store with “BBB” Credit Rating
• Interior Buildout, New Roof, and HVAC Completed by Tenant (Est.$600K!)
• Surrounded by Major Retailers like Walmart, Publix, Hobby Lobby, & Ross Dress for Less
Instate Broker of Record: Michael Houghton | Oak Realty Advisors