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RaceTrac (Atlanta MSA)

2850 Jimmy Lee Smith Pkwy, Hiram, GA 30141

Listing Price: $8,015,066

Cap Rate
5.00%
Tenant Name
RaceTrac Petroleum, Inc.
Years Remaining On Lease
11.6
Guarantor
Corporate Guarantee
Rentable SF
5,411
Lease Type
Absolute Net
Rent Per Square Feet
$74.06

Investment Overview

LONG TERM CORPORATE LEASE There are approximately 11.75 years remaining on the initial lease term with 7.5% rent increases every 5-years, which continue through each of the seven, 5-year renewal option periods. The lease is absolute net, with no landlord maintenance responsibilities and comes with a corporate guarantee from RaceTrac Petroleum, Inc.. RaceTrac has been operating since 1934, which is an 87-year operating history. The Company now operates over 550 convenience store locations in Florida, Georgia, Louisiana, Tennessee, and Texas. RaceTrac generated $9.6 Billion in Revenue in 2021.2 OUTSTANDING LOCATION | EXCEPTIONALLY HIGH TRAFFIC COUNT OF 53,000 VPD The Property has strong visibility at the four-way signalized corner of Jimmy Lee Smith Parkway and Bill Carruth Parkway with access from both thoroughfares. The traffic count at the intersection is in excess of 53,000 cars a day. STRATEGIC LOCATION DIRECTLY ACROSS FROM WELLSTAR PAULDING HOSPITAL The Subject Property is situated directly across from Wellstar Paulding Hospital (294-beds). RaceTrac is only 15 minutes from Paulding NW Airport Georgia and 35 minutes to Downtown Atlanta. STRONG DEMOGRAPHICS | $73K AVERAGE HH INCOME 1-MILE RADIUS The Property offers favorable demographics for the region with an average household income of $73,471 within a one-mile radius that increases to $86,350 within a five-mile radius. STRONG POTENTIAL TAX ADVANTAGE | 100% BONUS DEPRECIATION IN YEAR 13 The estimated bonus depreciation in Year 1 for the Subject Property is $4,800,000. Please see the IRS Circular 230 Disclosure below. Current rules allow investors to immediately write off 100% of the improvement value in Year 1 if certain requirements are met, and the property is placed in service after September 27, 2017. This went into effect after the Tax Cuts and Jobs Act when bonus depreciation was raised to 100% through the end of 2022. ATLANTA MSA LOCATION Located in Hiram, 27 miles southeast of downtown Atlanta, the site benefits from its proximity to the economic hub of the Southeast. The region has a population of roughly 6.0 million people and over the next five years is expected to add approximately 288,000 residents. Atlanta ranks as one of the nation’s top markets for Fortune 500 companies. UPS, Delta Airlines, Coca-Cola, and Home Depot represent a portion of the 16 companies with headquarters in the metro.

Investment Highlights

  • LONG TERM CORPORATE LEASE
  • OUTSTANDING LOCATION | EXCEPTIONALLY HIGH TRAFFIC COUNT OF 53,000 VPD
  • STRATEGIC LOCATION DIRECTLY ACROSS FROM WELLSTAR PAULDING HOSPITAL
  • STRONG DEMOGRAPHICS | $73K AVERAGE HH INCOME 1-MILE RADIUS
  • STRONG POTENTIAL TAX ADVANTAGE | 100% BONUS DEPRECIATION IN YEAR 1
  • ATLANTA MSA LOCATION

Exclusively Listed By

Broker of Record

  • John M. Leonard

    First Vice President/Regional Manager

    (678) 808-2700

    License(s) GA: 252904

    Georgia

Auto Service - Gas-Conv

RaceTrac (Atlanta MSA)

Listing Price: $8,015,066

Cap Rate
5.00%
Tenant Name
RaceTrac Petroleum, Inc.
Years Remaining On Lease
11.6
Guarantor
Corporate Guarantee
Rentable SF
5,411
Lease Type
Absolute Net
Rent Per Square Feet
$74.06

Investment Highlights

  • LONG TERM CORPORATE LEASE
  • OUTSTANDING LOCATION | EXCEPTIONALLY HIGH TRAFFIC COUNT OF 53,000 VPD
  • STRATEGIC LOCATION DIRECTLY ACROSS FROM WELLSTAR PAULDING HOSPITAL
  • STRONG DEMOGRAPHICS | $73K AVERAGE HH INCOME 1-MILE RADIUS
  • STRONG POTENTIAL TAX ADVANTAGE | 100% BONUS DEPRECIATION IN YEAR 1
  • ATLANTA MSA LOCATION

Investment Overview

LONG TERM CORPORATE LEASE There are approximately 11.75 years remaining on the initial lease term with 7.5% rent increases every 5-years, which continue through each of the seven, 5-year renewal option periods. The lease is absolute net, with no landlord maintenance responsibilities and comes with a corporate guarantee from RaceTrac Petroleum, Inc.. RaceTrac has been operating since 1934, which is an 87-year operating history. The Company now operates over 550 convenience store locations in Florida, Georgia, Louisiana, Tennessee, and Texas. RaceTrac generated $9.6 Billion in Revenue in 2021.2 OUTSTANDING LOCATION | EXCEPTIONALLY HIGH TRAFFIC COUNT OF 53,000 VPD The Property has strong visibility at the four-way signalized corner of Jimmy Lee Smith Parkway and Bill Carruth Parkway with access from both thoroughfares. The traffic count at the intersection is in excess of 53,000 cars a day. STRATEGIC LOCATION DIRECTLY ACROSS FROM WELLSTAR PAULDING HOSPITAL The Subject Property is situated directly across from Wellstar Paulding Hospital (294-beds). RaceTrac is only 15 minutes from Paulding NW Airport Georgia and 35 minutes to Downtown Atlanta. STRONG DEMOGRAPHICS | $73K AVERAGE HH INCOME 1-MILE RADIUS The Property offers favorable demographics for the region with an average household income of $73,471 within a one-mile radius that increases to $86,350 within a five-mile radius. STRONG POTENTIAL TAX ADVANTAGE | 100% BONUS DEPRECIATION IN YEAR 13 The estimated bonus depreciation in Year 1 for the Subject Property is $4,800,000. Please see the IRS Circular 230 Disclosure below. Current rules allow investors to immediately write off 100% of the improvement value in Year 1 if certain requirements are met, and the property is placed in service after September 27, 2017. This went into effect after the Tax Cuts and Jobs Act when bonus depreciation was raised to 100% through the end of 2022. ATLANTA MSA LOCATION Located in Hiram, 27 miles southeast of downtown Atlanta, the site benefits from its proximity to the economic hub of the Southeast. The region has a population of roughly 6.0 million people and over the next five years is expected to add approximately 288,000 residents. Atlanta ranks as one of the nation’s top markets for Fortune 500 companies. UPS, Delta Airlines, Coca-Cola, and Home Depot represent a portion of the 16 companies with headquarters in the metro.

Exclusively Listed By

Broker of Record

  • John M. Leonard

    First Vice President/Regional Manager

    (678) 808-2700

    License(s): GA: 252904

    Georgia

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