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Drug Store

CVS Pharmacy

2424 N Ocoee St, Cleveland, TN 37311

Listing Price: $6,500,000

Cap Rate
4.47%
Tenant Name
CVS Pharmacy
Years Remaining On Lease
16.4
Gross SF
12,900
Guarantor
Corporate Guarantee
Rentable SF
12,900
Price/Gross SF
$503.88
Lease Type
Absolute Net
Rent Per Square Feet
$22.52

Investment Overview

The subject property is a CVS Pharmacy located in Cleveland, TN. The property consists of a 12,900 square foot building that sits on 1.81 acres of land. CVS has been operating at this location since 2007 and exercised a brand new 20-year absolute NNN lease in 2018. The lease also includes ten five-year options with 3% increases at the beginning of each option. CVS Health Corporation guarantees the lease with investment grade credit.   The property is situated on the corner of Route 60 and North Ocoee Street with combined traffic counts exceeding 43,000 vehicles daily. There are two means of ingress and egress for the property making this location easily accessible. Lee University is located less than a half-mile south of CVS and is home to 4,500+ students. Also nearby are the local middle and elementary schools as well as the PIE (Partnerships in Industry & Education) Innovation Center which is a new development (opened Summer 2021) located just behind the Easy Auto next to CVS. The 1.4 million square foot Mars Chocolate facility is located two miles north and Whirlpool’s new 1.1 million square foot manufacturing facility is two-and-a-half miles east of the property. Whirlpool relocated their manufacturing operations to Cleveland, TN in 2012 and is the largest employer in the county with 1,630 employees. The Bradley Square Mall is located just 2 miles north of the property and consists of almost 400,000 square feet of retail. The mall, along with surrounding retailers including The Home Depot, Lowe’s, Walmart Supercenter, Aldi, Hobby Lobby and more, offers over 1.5 million square feet of retail for shoppers. Nearby retailers include Walgreens, Domino’s Pizza, Taco Bell, Papa John’s, KFC, Pizza Hut, Tractor Supply, Anytime Fitness, USPS, Speedway, and more. I-75 is less than two miles west providing easy access to Downtown Chattanooga, which is just over 30 miles south.   Other notable economic drivers in the immediate vicinity include the Tennova Healthcare Hospital Campus across the street and the considerable concentration of adjacent medical offices. Directly east of the property new development includes over 300 apartments in the Retreat at Spring Creek as well as another 200 residential units at the 64-acre Spring Creek Town Center which includes retail and commercial space as well as a separate business park. Also along this corridor in the opposite direction is the headquarters and international offices for the Church of God spread over 40 acres which includes the World Evangelization Center, The Discipleship and Education Center, the Leadership and Communications Center, the Center for Ministerial Care along with a maintenance facility. The Church of God operates Lee University, which was originally known as the Church of God Bible Training School when it opened over 100 years ago. One-and-a-half miles North of the site is the headquarters of Life Care Centers of America which is the operator of over 200 skilled nursing, rehabilitation, Alzheimer’s and senior living campuses in 28 states and employs over 1,350 people in Cleveland.

Investment Highlights

  • 20-Year Absolute NNN Lease with 16.5 Years Remaining
  • Ten 5-Year Options with 3% Increases Every Five Years
  • Hard Corner Location | Route 60 & North Ocoee Street

Exclusively Listed By

  • Laurie Ann Drinkwater

    Senior Vice President Investments

    (617) 896-7230

    Email Laurie Ann

    License(s): CT: REB.0751880, MA: 147511, RI: B 16787

    Boston

  • Seth J. Richard

    Licensed Real Estate Salesperson

    (212) 430-5164

    Email Seth

    License(s): CT: RES- 0764595, NY: 10401275108, MA: 149700

    Manhattan

Broker of Record

  • Jody McKibben

    First Vice President/Regional Manager

    (615) 997-2800

    License(s) TN: 307629

    Tennessee

Drug Store

CVS Pharmacy

Listing Price: $6,500,000

Cap Rate
4.47%
Tenant Name
CVS Pharmacy
Years Remaining On Lease
16.4
Gross SF
12,900
Guarantor
Corporate Guarantee
Rentable SF
12,900
Price/Gross SF
$503.88
Lease Type
Absolute Net
Rent Per Square Feet
$22.52

Investment Highlights

  • 20-Year Absolute NNN Lease with 16.5 Years Remaining
  • Ten 5-Year Options with 3% Increases Every Five Years
  • Hard Corner Location | Route 60 & North Ocoee Street

Investment Overview

The subject property is a CVS Pharmacy located in Cleveland, TN. The property consists of a 12,900 square foot building that sits on 1.81 acres of land. CVS has been operating at this location since 2007 and exercised a brand new 20-year absolute NNN lease in 2018. The lease also includes ten five-year options with 3% increases at the beginning of each option. CVS Health Corporation guarantees the lease with investment grade credit.   The property is situated on the corner of Route 60 and North Ocoee Street with combined traffic counts exceeding 43,000 vehicles daily. There are two means of ingress and egress for the property making this location easily accessible. Lee University is located less than a half-mile south of CVS and is home to 4,500+ students. Also nearby are the local middle and elementary schools as well as the PIE (Partnerships in Industry & Education) Innovation Center which is a new development (opened Summer 2021) located just behind the Easy Auto next to CVS. The 1.4 million square foot Mars Chocolate facility is located two miles north and Whirlpool’s new 1.1 million square foot manufacturing facility is two-and-a-half miles east of the property. Whirlpool relocated their manufacturing operations to Cleveland, TN in 2012 and is the largest employer in the county with 1,630 employees. The Bradley Square Mall is located just 2 miles north of the property and consists of almost 400,000 square feet of retail. The mall, along with surrounding retailers including The Home Depot, Lowe’s, Walmart Supercenter, Aldi, Hobby Lobby and more, offers over 1.5 million square feet of retail for shoppers. Nearby retailers include Walgreens, Domino’s Pizza, Taco Bell, Papa John’s, KFC, Pizza Hut, Tractor Supply, Anytime Fitness, USPS, Speedway, and more. I-75 is less than two miles west providing easy access to Downtown Chattanooga, which is just over 30 miles south.   Other notable economic drivers in the immediate vicinity include the Tennova Healthcare Hospital Campus across the street and the considerable concentration of adjacent medical offices. Directly east of the property new development includes over 300 apartments in the Retreat at Spring Creek as well as another 200 residential units at the 64-acre Spring Creek Town Center which includes retail and commercial space as well as a separate business park. Also along this corridor in the opposite direction is the headquarters and international offices for the Church of God spread over 40 acres which includes the World Evangelization Center, The Discipleship and Education Center, the Leadership and Communications Center, the Center for Ministerial Care along with a maintenance facility. The Church of God operates Lee University, which was originally known as the Church of God Bible Training School when it opened over 100 years ago. One-and-a-half miles North of the site is the headquarters of Life Care Centers of America which is the operator of over 200 skilled nursing, rehabilitation, Alzheimer’s and senior living campuses in 28 states and employs over 1,350 people in Cleveland.

Exclusively Listed By

  • Laurie Ann Drinkwater

    Senior Vice President Investments

    (617) 896-7230

    Email Laurie Ann

    License(s): CT: REB.0751880, MA: 147511, RI: B 16787

    Boston

  • Seth J. Richard

    Licensed Real Estate Salesperson

    (212) 430-5164

    Email Seth

    License(s): CT: RES- 0764595, NY: 10401275108, MA: 149700

    Manhattan

Broker of Record

  • Jody McKibben

    First Vice President/Regional Manager

    (615) 997-2800

    License(s): TN: 307629

    Tennessee

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