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Drug Store

Walgreens Portfolio

500 Maxey Rd, Houston, TX 77013

Listing Price: $5,340,000

Cap Rate
6.25%
Tenant Name
Walgreens
Years Remaining On Lease
5.2
Guarantor
Corporate Guarantee
Rentable SF
13,650
Lease Type
Absolute Net
Rent Per Square Feet
$24.47

Investment Overview

Marcus & Millichap is pleased to present the opportunity to acquire the fee-simple interest in three single-tenant, corporate guaranteed, Walgreens locations in Houston Texas, White Bear Lake, Minnesota, and Cicero New York. All properties are leased to and guaranteed by Walgreens Boots Alliance, an “essential-use” and recession-resilient tenant. Walgreens is considered “investment grade” credit and is publicly traded on the New York Stock Exchange (NYSE: WAG) Moodys Baa2 / S&P BBB. The portfolio has an average lease term of eight years plus remaining on an absolute NNN fee simple basis with zero landlord responsibilities, providing consistent and reliable long-term cash-flow. This portfolio also provides investors with the unique opportunity to assume an existing loan with 6.5+ years remaining until the maturity date, with a fixed interest rate of 4.70 percent, which is well below the current market-average borrowing rate. With the attractive rate and terms on the assumable loan, investors can maximize cashflow without the need for loan origination, making this an ideal opportunity for 1031-exchange buyers with limited closing timelines. The three Walgreens locations have excellent real estate fundamentals, situated on high-traffic arterial roads with proximity to housing, employment, education, and other attractions. All three Walgreens locations feature FedEx Onsite and drive-through pharmacy windows. The Houston location features Village Medical clinic, offering a suite of additional medical services to the local community.

Investment Highlights

  • Over 5.5 Year Remaining on Absolute NNN Lease with Zero Landlord Responsibilities
  • Corporate Guarantee with Ten Five-Year Options for Maximum Term Through 2078
  • Essential Use – Pandemic and Recession Resilient Tenant with Drive Thru, FedEx Onsite and Village Medical Location
  • Located on Major Arterial Road and Benefits from 38,265 Vehicles Per Day just North of Interstate-10 with 154,870 Vehicles Per Day
  • Strong Area Demographics - 193,447 Population Within Five-Mile Radius with Household Income of $60,301 Annually
  • The Site Benefits from being Approximately 2.1 Miles from the Houston Community College with 48,329 Students and 1.5 Miles from East Houston Hospital (120 Beds)
  • Nearby Tenants include McDonalds, USPS, DDs Discounts, Bank of America, Popeyes, Pizza Hut, KFC, Taco Bell, Family Dollar, Subway, Kroger, Domino's

Exclusively Listed By

Broker of Record

  • Tim Speck

    Senior Vice President / Division Manager

    (972) 755-5200

    License(s) TX: 9002994

    Texas

Financing By

Drug Store

Walgreens Portfolio

Listing Price: $5,340,000

Cap Rate
6.25%
Tenant Name
Walgreens
Years Remaining On Lease
5.2
Guarantor
Corporate Guarantee
Rentable SF
13,650
Lease Type
Absolute Net
Rent Per Square Feet
$24.47

Investment Highlights

  • Over 5.5 Year Remaining on Absolute NNN Lease with Zero Landlord Responsibilities
  • Corporate Guarantee with Ten Five-Year Options for Maximum Term Through 2078
  • Essential Use – Pandemic and Recession Resilient Tenant with Drive Thru, FedEx Onsite and Village Medical Location
  • Located on Major Arterial Road and Benefits from 38,265 Vehicles Per Day just North of Interstate-10 with 154,870 Vehicles Per Day
  • Strong Area Demographics - 193,447 Population Within Five-Mile Radius with Household Income of $60,301 Annually
  • The Site Benefits from being Approximately 2.1 Miles from the Houston Community College with 48,329 Students and 1.5 Miles from East Houston Hospital (120 Beds)
  • Nearby Tenants include McDonalds, USPS, DDs Discounts, Bank of America, Popeyes, Pizza Hut, KFC, Taco Bell, Family Dollar, Subway, Kroger, Domino's

Investment Overview

Marcus & Millichap is pleased to present the opportunity to acquire the fee-simple interest in three single-tenant, corporate guaranteed, Walgreens locations in Houston Texas, White Bear Lake, Minnesota, and Cicero New York. All properties are leased to and guaranteed by Walgreens Boots Alliance, an “essential-use” and recession-resilient tenant. Walgreens is considered “investment grade” credit and is publicly traded on the New York Stock Exchange (NYSE: WAG) Moodys Baa2 / S&P BBB. The portfolio has an average lease term of eight years plus remaining on an absolute NNN fee simple basis with zero landlord responsibilities, providing consistent and reliable long-term cash-flow. This portfolio also provides investors with the unique opportunity to assume an existing loan with 6.5+ years remaining until the maturity date, with a fixed interest rate of 4.70 percent, which is well below the current market-average borrowing rate. With the attractive rate and terms on the assumable loan, investors can maximize cashflow without the need for loan origination, making this an ideal opportunity for 1031-exchange buyers with limited closing timelines. The three Walgreens locations have excellent real estate fundamentals, situated on high-traffic arterial roads with proximity to housing, employment, education, and other attractions. All three Walgreens locations feature FedEx Onsite and drive-through pharmacy windows. The Houston location features Village Medical clinic, offering a suite of additional medical services to the local community.

Exclusively Listed By

Broker of Record

  • Tim Speck

    Senior Vice President / Division Manager

    (972) 755-5200

    License(s): TX: 9002994

    Texas

Financing By

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