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Department Store

Auction American Freight

3200 Hwy 13 W, Burnsville, MN 55337

Listing Price: $600,000

Tenant Name
American Freight
Years Remaining On Lease
1.4
Guarantor
Corporate Guarantee
Rentable SF
33,350
Lease Type
Triple Net (NNN)
Rent Per Square Feet
$5.77

Investment Overview

Register to Bid and Access Due Diligence Documents on RI Marketplace Marcus & Millichap and RI Marketplace are pleased to present a 33,350 square-foot building 100% occupied by American Freight (the “Property”) located at 3200 Highway 13 W in Burnsville, Minnesota. The Property offers an investor the opportunity to acquire an absolute triple net asset with no management responsibility, from a nationally recognized tenant paying significantly below market rent. The Property is located on a major retail corridor with 50,000+ vehicles per day alongside nationally recognized tenants such as McDonald’s, Menards, Red Wing Shoes, Napa Auto Parts, Walmart Supercenter, and many more. American Freight Furniture has occupied the property since January 1, 2014, on an absolute triple net lease with 1% annual rent increases. The lease runs through December 31, 2023, and the tenant has two 5-year renewal options. The opportunity exists for huge upside re-tenanting at current market rates of $10 PSF NNN in the unlikely event American Freight does not renew. American Freight is part of The Franchise Group, a publicly traded ( NASDAQ: FRG) retail conglomerate with over 1,800 locations across North America operating under banners such as American Freight (300+ locations), Pet Supplies Plus (300+ locations), The Vitamin Shoppe (750+ locations) and Buddy’s Home Furnishings (300+ locations) and has a market cap in excess of $1.4 Billion Dollars. Burnsville is 15 miles south of downtown Minneapolis in Dakota County, Minnesota. The Minneapolis-St. Paul metro is a hub for corporate headquarters, consisting of 16 counties in the southeastern portion of central Minnesota and western Wisconsin. The metro has a population of more than 3.6 million people and covers 6,364 square miles. The Property serves an affluent trade area that benefits from strong demographics with a population of 171,601 residents and an average household income of $109,333 within a 5-mile radius.

Investment Highlights

  • STARTING BID $600,000 | $192k NOI | AUCTION AUGUST 8-10, 2022
  • Single-Tenant, NNN Asset Occupied by American Freight Furniture & Mattress with 1.5 years base term and two 5-year options remaining
  • Huge Upside with Long-Term Tenant Below Market Rent | Current Market Rates of $10 PSF NNN
  • Current NOI is $192,284 | Absolute NNN (Zero Landlord Responsibilities) with One Percent Annual Rent Increases
  • Nearby National Retailers include O'Reilly Auto Parts, Harbor Freight, Menards, Walmart, McDonald's, Red Wing Shoes, and more
  • Location within the Minneapolis Metro Area | Traffic Counts Exceed 50,000 VPD
  • Attractive 2022 demographics with 5-mile population of ±171,601 and annual household income of ±$109,333

Exclusively Listed By

Broker of Record

  • Jon Ruzicka

    First Vice President Investments

    (952) 852-9700

    License(s) MN: 40583288

    Minnesota

Department Store

Auction American Freight

Listing Price: $600,000

Tenant Name
American Freight
Years Remaining On Lease
1.4
Guarantor
Corporate Guarantee
Rentable SF
33,350
Lease Type
Triple Net (NNN)
Rent Per Square Feet
$5.77

Investment Highlights

  • STARTING BID $600,000 | $192k NOI | AUCTION AUGUST 8-10, 2022
  • Single-Tenant, NNN Asset Occupied by American Freight Furniture & Mattress with 1.5 years base term and two 5-year options remaining
  • Huge Upside with Long-Term Tenant Below Market Rent | Current Market Rates of $10 PSF NNN
  • Current NOI is $192,284 | Absolute NNN (Zero Landlord Responsibilities) with One Percent Annual Rent Increases
  • Nearby National Retailers include O'Reilly Auto Parts, Harbor Freight, Menards, Walmart, McDonald's, Red Wing Shoes, and more
  • Location within the Minneapolis Metro Area | Traffic Counts Exceed 50,000 VPD
  • Attractive 2022 demographics with 5-mile population of ±171,601 and annual household income of ±$109,333

Investment Overview

Register to Bid and Access Due Diligence Documents on RI Marketplace Marcus & Millichap and RI Marketplace are pleased to present a 33,350 square-foot building 100% occupied by American Freight (the “Property”) located at 3200 Highway 13 W in Burnsville, Minnesota. The Property offers an investor the opportunity to acquire an absolute triple net asset with no management responsibility, from a nationally recognized tenant paying significantly below market rent. The Property is located on a major retail corridor with 50,000+ vehicles per day alongside nationally recognized tenants such as McDonald’s, Menards, Red Wing Shoes, Napa Auto Parts, Walmart Supercenter, and many more. American Freight Furniture has occupied the property since January 1, 2014, on an absolute triple net lease with 1% annual rent increases. The lease runs through December 31, 2023, and the tenant has two 5-year renewal options. The opportunity exists for huge upside re-tenanting at current market rates of $10 PSF NNN in the unlikely event American Freight does not renew. American Freight is part of The Franchise Group, a publicly traded ( NASDAQ: FRG) retail conglomerate with over 1,800 locations across North America operating under banners such as American Freight (300+ locations), Pet Supplies Plus (300+ locations), The Vitamin Shoppe (750+ locations) and Buddy’s Home Furnishings (300+ locations) and has a market cap in excess of $1.4 Billion Dollars. Burnsville is 15 miles south of downtown Minneapolis in Dakota County, Minnesota. The Minneapolis-St. Paul metro is a hub for corporate headquarters, consisting of 16 counties in the southeastern portion of central Minnesota and western Wisconsin. The metro has a population of more than 3.6 million people and covers 6,364 square miles. The Property serves an affluent trade area that benefits from strong demographics with a population of 171,601 residents and an average household income of $109,333 within a 5-mile radius.

Exclusively Listed By

Broker of Record

  • Jon Ruzicka

    First Vice President Investments

    (952) 852-9700

    License(s): MN: 40583288

    Minnesota

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