Dollar General – De Smet, SD

$1,396,293
Price
$85,872
Noi
6.15%
Cap Rate
9,002
Leasable Area
2017
Year Built

CONTACT US REGARDING THIS LISTING

Ben Schultz

Senior Director

DOWNLOAD LINKS

OFFERING MEMORANDUM

Fortis Net Lease is pleased to present this 9,002 SF. corner-entry Dollar General store located in De Smet, South Dakota. The property offers a Fifteen (15) Year Absolute NNN Lease, leaving zero landlord responsibilities. The lease contains a 3% rental rate in crease at year 11 and also offers 4 (5 Year) options to renew, each with a 10% rental rate increase. The lease is corporately guaranteed by Dollar General Corporation which holds a credit rating of “BBB”, which is classified as Investment Grade. The store is currently open and has been operating successfully since July of 2017.

This Dollar General is highly visible as it is strategically positioned on Highway 14 which sees 2,430 cars per day. It is located on the main thoroughfare connecting neighboring communities. The ten mile population from the site is 2,387 while the three mile average household income $64,929 per year, making this location ideal for a Dollar General. The Subject offering represents an ideal opportunity for a 1031 exchange buyer or a “passive” investor to attain the fee simple ownership of Dollar General. This investment will offer a new owner continued success due to the financial strength and the proven profitability of the tenant, the nation’s top dollar store. List price reflects a 6.15% cap rate based on NOI of $85,872.

INVESTMENT HIGHLIGHTS
• 15 Year Absolute NNN Lease | Zero Landlord Responsibilities
• 3% Rental Rate Increase at Year 11 of Primary Term
• 4 (5 Year) Options | 10% Increases At Each Option
• Concrete Parking Lot
• Three Mile Household Income $64,929
• Ten Mile Population 2,387
• 2,430 Cars Per Day on Highway 14
• Investment Grade Dollar Store With “BBB” Credit Rating
• DG Reported 30 Consecutive Years of Same Store Sales Growth
• No Competition Within 30+ Miles

 

Instate Broker of Record: Robin Johnson | Dakota Plains Commercial Real Estate | License #15391