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Auto Service - Gas-Conv

Pilot - Cedar Rapids, IA

8950 Earhart Ln SW, Cedar Rapids, IA 52404

Listing Price: $16,500,000

Cap Rate
5.00%
Tenant Name
Flying J - Pilot
Years Remaining On Lease
18.1
Gross SF
7,683
Guarantor
Corporate Guarantee
Rentable SF
7,683
Price/Gross SF
$2,147.60
Lease Type
Absolute Net
Rent Per Square Feet
$107.38

Investment Overview

Marcus & Millichap is pleased to present for sale this Pilot Travel Center located
at 8950 Earhart Lane SW in Cedar Rapids, Iowa. Cedar Rapids is the second
most populous city in Iowa and the county seat of Linn County. Cedar Rapids
is one of the largest cities in the world for corn processing and provides over
4,000 jobs in that field. Fortune 500 Company Collins Aerospace and trucking
company CRST are based in Cedar Rapids.
Pilot merged with Flying J in 2010 taking the name Pilot Flying J. In 2017,
Warren Buffett-controlled Berkshire Hathaway acquired a 38.6% stake in Pilot
Flying J and earlier this year upped their stake to 80 percent of the company.
The remaining 20 percent of the company is owned by the Haslam family,
the founders of Pilot Corporation, which has retained control of day-to-day
operations.
Pilot is strategically located on the Interstate 380 leading to downtown Cedar
Rapids allowing truckers a place to stop before entering Cedar Rapids. South
of the city, major cities within 300 miles include Chicago, IL; Des Moines, IA;
Omaha, NE; St. Louis MO as well as many smaller destinations. Located just
off the exit ramp of Interstate 380 with 51,400 vehicles per day makes this a
common destination for
The tenant recently signed a 20-year absolute triple-net lease with 10 percent
escalations in rent every five years including the four 5-year rental option
periods. The subject property built in 2018 is located on 6.307 acres with
a 7,683 square foot convenience store including an Arby’s and a Dunkin’
Donuts Express. Other features of the property include the 6 diesel fuel lanes,
10 gas fueling stations and 2 showers.
Headquartered in Knoxville, Tennessee, Pilot Flying J is the largest operator
of travel centers in North America with more than 750 locations throughout
the United States and Canada. Pilot Flying J is one of the leading suppliers of
fuel and the largest operator of travel centers in North America and the largest
seller of over-the-road diesel fuel in the United States.

Investment Highlights

  • Rare Corporate Guaranteed Lease | Pilot Travel Centers LLC
  • Absolute NNN Lease | Zero Landlord Responsibilities
  • Long Term Lease | 19+ Year Lease with 10% Increase Every Five Years | September 2023 Commencement
  • Fee Simple Ownership Allowing For Depreciation | 80% Bonus Available for 2023 Closing (Consult CPA)
  • Pilot Flying J is 80% Owned by Warren Buffett-controlled Berkshire Hathaway (S&P: AA+)
  • Large Parcel| Situated on 6.307 Acres
  • Six Miles from Downtown Cedar Rapids

Broker of Record

  • Jon Ruzicka

    First Vice President Investments

    (952) 852-9700

    License(s) IA: B63379000

    Iowa

Financing By

Auto Service - Gas-Conv

Pilot - Cedar Rapids, IA

Listing Price: $16,500,000

Cap Rate
5.00%
Tenant Name
Flying J - Pilot
Years Remaining On Lease
18.1
Gross SF
7,683
Guarantor
Corporate Guarantee
Rentable SF
7,683
Price/Gross SF
$2,147.60
Lease Type
Absolute Net
Rent Per Square Feet
$107.38

Investment Highlights

  • Rare Corporate Guaranteed Lease | Pilot Travel Centers LLC
  • Absolute NNN Lease | Zero Landlord Responsibilities
  • Long Term Lease | 19+ Year Lease with 10% Increase Every Five Years | September 2023 Commencement
  • Fee Simple Ownership Allowing For Depreciation | 80% Bonus Available for 2023 Closing (Consult CPA)
  • Pilot Flying J is 80% Owned by Warren Buffett-controlled Berkshire Hathaway (S&P: AA+)
  • Large Parcel| Situated on 6.307 Acres
  • Six Miles from Downtown Cedar Rapids

Investment Overview

Marcus & Millichap is pleased to present for sale this Pilot Travel Center located at 8950 Earhart Lane SW in Cedar Rapids, Iowa. Cedar Rapids is the second most populous city in Iowa and the county seat of Linn County. Cedar Rapids is one of the largest cities in the world for corn processing and provides over 4,000 jobs in that field. Fortune 500 Company Collins Aerospace and trucking company CRST are based in Cedar Rapids. Pilot merged with Flying J in 2010 taking the name Pilot Flying J. In 2017, Warren Buffett-controlled Berkshire Hathaway acquired a 38.6% stake in Pilot Flying J and earlier this year upped their stake to 80 percent of the company. The remaining 20 percent of the company is owned by the Haslam family, the founders of Pilot Corporation, which has retained control of day-to-day operations. Pilot is strategically located on the Interstate 380 leading to downtown Cedar Rapids allowing truckers a place to stop before entering Cedar Rapids. South of the city, major cities within 300 miles include Chicago, IL; Des Moines, IA; Omaha, NE; St. Louis MO as well as many smaller destinations. Located just off the exit ramp of Interstate 380 with 51,400 vehicles per day makes this a common destination for The tenant recently signed a 20-year absolute triple-net lease with 10 percent escalations in rent every five years including the four 5-year rental option periods. The subject property built in 2018 is located on 6.307 acres with a 7,683 square foot convenience store including an Arby’s and a Dunkin’ Donuts Express. Other features of the property include the 6 diesel fuel lanes, 10 gas fueling stations and 2 showers. Headquartered in Knoxville, Tennessee, Pilot Flying J is the largest operator of travel centers in North America with more than 750 locations throughout the United States and Canada. Pilot Flying J is one of the leading suppliers of fuel and the largest operator of travel centers in North America and the largest seller of over-the-road diesel fuel in the United States.

Broker of Record

  • Jon Ruzicka

    First Vice President Investments

    (952) 852-9700

    License(s): IA: B63379000

    Iowa

Financing By

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