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Drug Store

CVS | Absolute NNN Ground Lease | University of Kentucky Location

118 E New Circle Rd, Lexington, KY 40505

Listing Price: $3,800,000

Cap Rate
5.00%
Tenant Name
CVS
Years Remaining On Lease
15.4
Guarantor
Corporate Guarantee
Rentable SF
13,225
Lease Type
NNN Ground Lease
Rent Per Square Feet
$14.37

Investment Overview

The Klink Group of Marcus & Millichap, as exclusive advisor, is pleased to present the opportunity to acquire an absolute NNN ground lease CVS in the major college town of Lexington, Kentucky. The property has approximately 15+ years remaining of its original 25-year lease and six, five-year renewal options with rare five percent rental bumps in each option. The offering presents an ideal investment for a Buyer looking for first-in-class tenancy with CVS, in a dominant infill location along a major commercial corridor within close proximity to the University of Kentucky, coupled with strong residential density with an attractive long-term lease in place which features rental bumps. This is opportunity to acquire a well positioned passive investment in a low velocity submarket with high barriers to entry. Built in 2009 and situated on an over-sized 1.86-acre lot, this CVS is located along East New Circle Road (Route 4), which encircles the entire city of Lexington; allowing access to various points of destination throughout Lexington and to Interstate 75. The property is surrounded by various local, regional and national retailers surrounded by dense residential with numerous single-family residential homes and apartment complexes. The immediate three-mile radius boasts strong and desirable demographics; with a population of over 80,000 and an average household income in excess of $60,000. The property’s hard-corner signalized location at North Limestone and East New Circle Road (Route 4) experiences approximately 50,000 vehicles-per-day and is in close proximity various points of destination. Downtown Lexington is just 2 miles west of the subject property and the University of Kentucky, a public university with an average total student enrollment of 31,000 and an endowment fund of approximately $1.31 billion, is located just three miles west of the property. The University of Kentucky is made up of 16 colleges and offers a graduate, undergraduate, masters and doctoral programs. The property also benefits from being in a tremendous retail corridor surrounded by national recognized tenants such as: Advance Auto Parts, Little Caesar's, Hardee’s, American Freights, PNC Bank, Taco Bell, McDonald’s, Walmart, Ross Dress for Less, Panda Express, Arby’s, Wendy’s and more. This CVS ground lease presents a great opportunity for an investor seeking passive income through a long-term net-leased investment with an investment-grade corporate tenant located in an irreplaceable shopping, dining and entertainment commercial area near the University of Kentucky.

Investment Highlights

  • Absolute NNN Ground Lease | No Landlord Responsibilities
  • Surrounded By A Mix Of Nationally Recognized Retailers: Walmart, Panda Express, Taco Bell, McDonald's, Goodwill and more
  • Low Velocity Submarket | Close Proximity to University of Kentucky (30,000 students) and Downtown Lexington, Kentucky.
  • Rare 5% Rental Bumps In Each Option Period & No Rent Holiday
  • Hard Corner Signalized Intersection With Over 50,000 Vehicles Passing By The Site Daily
  • Dense Infill Location, With Large 1.85-acre Parcel

Exclusively Listed By

Broker of Record

  • Colby Haugness

    First Vice President Investments

    (513) 878-7733

    License(s) KY: 242197

    Kentucky

Drug Store

CVS | Absolute NNN Ground Lease | University of Kentucky Location

Listing Price: $3,800,000

Cap Rate
5.00%
Tenant Name
CVS
Years Remaining On Lease
15.4
Guarantor
Corporate Guarantee
Rentable SF
13,225
Lease Type
NNN Ground Lease
Rent Per Square Feet
$14.37

Investment Highlights

  • Absolute NNN Ground Lease | No Landlord Responsibilities
  • Surrounded By A Mix Of Nationally Recognized Retailers: Walmart, Panda Express, Taco Bell, McDonald's, Goodwill and more
  • Low Velocity Submarket | Close Proximity to University of Kentucky (30,000 students) and Downtown Lexington, Kentucky.
  • Rare 5% Rental Bumps In Each Option Period & No Rent Holiday
  • Hard Corner Signalized Intersection With Over 50,000 Vehicles Passing By The Site Daily
  • Dense Infill Location, With Large 1.85-acre Parcel

Investment Overview

The Klink Group of Marcus & Millichap, as exclusive advisor, is pleased to present the opportunity to acquire an absolute NNN ground lease CVS in the major college town of Lexington, Kentucky. The property has approximately 15+ years remaining of its original 25-year lease and six, five-year renewal options with rare five percent rental bumps in each option. The offering presents an ideal investment for a Buyer looking for first-in-class tenancy with CVS, in a dominant infill location along a major commercial corridor within close proximity to the University of Kentucky, coupled with strong residential density with an attractive long-term lease in place which features rental bumps. This is opportunity to acquire a well positioned passive investment in a low velocity submarket with high barriers to entry. Built in 2009 and situated on an over-sized 1.86-acre lot, this CVS is located along East New Circle Road (Route 4), which encircles the entire city of Lexington; allowing access to various points of destination throughout Lexington and to Interstate 75. The property is surrounded by various local, regional and national retailers surrounded by dense residential with numerous single-family residential homes and apartment complexes. The immediate three-mile radius boasts strong and desirable demographics; with a population of over 80,000 and an average household income in excess of $60,000. The property’s hard-corner signalized location at North Limestone and East New Circle Road (Route 4) experiences approximately 50,000 vehicles-per-day and is in close proximity various points of destination. Downtown Lexington is just 2 miles west of the subject property and the University of Kentucky, a public university with an average total student enrollment of 31,000 and an endowment fund of approximately $1.31 billion, is located just three miles west of the property. The University of Kentucky is made up of 16 colleges and offers a graduate, undergraduate, masters and doctoral programs. The property also benefits from being in a tremendous retail corridor surrounded by national recognized tenants such as: Advance Auto Parts, Little Caesar's, Hardee’s, American Freights, PNC Bank, Taco Bell, McDonald’s, Walmart, Ross Dress for Less, Panda Express, Arby’s, Wendy’s and more. This CVS ground lease presents a great opportunity for an investor seeking passive income through a long-term net-leased investment with an investment-grade corporate tenant located in an irreplaceable shopping, dining and entertainment commercial area near the University of Kentucky.

Exclusively Listed By

Broker of Record

  • Colby Haugness

    First Vice President Investments

    (513) 878-7733

    License(s): KY: 242197

    Kentucky

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