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Auto Service - Gas-Conv

Circle K Sale Leaseback

1511 Jackson Ferry Rd, Montgomery, AL 36104

Listing Price: $2,777,800

Cap Rate
5.40%
Tenant Name
Circle K
Gross SF
2,201
Guarantor
Franchisee Guarantee
Rentable SF
2,201
Price/Gross SF
$1,262.06
Lease Type
Triple Net (NNN)
Rent Per Square Feet
$68.15

Investment Overview

STRONG REAL ESTATE FUNDAMENTALS - Flat topography with phenomenal visibility - Multiple points of ingress and egress › Directly off SR-152 (Northern Blvd) - Strong traffic counts of ±25,870 VPD on SR-152 - Limited surrounding competition - Strategically located as last gas station before on-ramp to SR-152 - Significant tenant investment of ±$400k scheduled for rebranding/ remodeling - Large gas footprint with 12 fueling stations - High density area › Permanent Population: ±33k (3-mi); ±81k (5-mi) › Daytime Population: ±63k (3-mi); ±115k (5-mi) OPTIMAL LEASE STRUCTURE - Attractive 20-year sale-leaseback - Four (4), 5-year renewal options - 1.5% rent escalations every year through the entire lease - Triple net (NNN) lease with NO landlord responsibilities - Tax advantages with accelerated & bonus depreciation due to fee simple ownership LARGE FRANCHISEE & DOMINANT BRAND - Largest Circle K franchisee - Expanding ±135 unit operator across 6 states (AL, AR, GA, LA, SC, TN) - 26+ year operating history - Circle K is an international brand with 15,000+ locations in 20 countries (corporate) MONTGOMERY, AL ADVANTAGE - Home to Alabama’s state capital - Gross Metro Product of $18.6 B (2019) - Low cost of living at 8% below national average (per Forbes) - Major industries include education and defense - Home to Maxwell Air Force Base › Educational and technological center of the US Air Force › Average fiscal economic impact of ±$2.6 B annually › Mission critical military installation as home to Air University › 17,000+ military, civil service, and contracted personnel & 34,000 students - Other Top Employers › Baptist Health: ±4,300 employees › Hyundai Motor Manufacturing Alabama, LLC: ±3,500 employees › Assembly plant for Sonata and Elantra sedans and Santa Fe SUV › HMMA and its suppliers have an annual economic impact of $4.82 B to the State of AL’s economy › ALFA Insurance Companies: ±2,500 employees

Investment Highlights

  • Strong traffic counts of ±25,870 VPD on SR-152
  • 1.5% rent escalations every year through the entire lease
  • Tax advantages with accelerated & bonus depreciation due to fee simple ownership

Broker of Record

  • Eddie Greenhalgh

    Senior Vice President Investments

    (205) 510-9200

    License(s) AL: 0000882980

    Alabama

Financing By

Auto Service - Gas-Conv

Circle K Sale Leaseback

Listing Price: $2,777,800

Cap Rate
5.40%
Tenant Name
Circle K
Gross SF
2,201
Guarantor
Franchisee Guarantee
Rentable SF
2,201
Price/Gross SF
$1,262.06
Lease Type
Triple Net (NNN)
Rent Per Square Feet
$68.15

Investment Highlights

  • Strong traffic counts of ±25,870 VPD on SR-152
  • 1.5% rent escalations every year through the entire lease
  • Tax advantages with accelerated & bonus depreciation due to fee simple ownership

Investment Overview

STRONG REAL ESTATE FUNDAMENTALS - Flat topography with phenomenal visibility - Multiple points of ingress and egress › Directly off SR-152 (Northern Blvd) - Strong traffic counts of ±25,870 VPD on SR-152 - Limited surrounding competition - Strategically located as last gas station before on-ramp to SR-152 - Significant tenant investment of ±$400k scheduled for rebranding/ remodeling - Large gas footprint with 12 fueling stations - High density area › Permanent Population: ±33k (3-mi); ±81k (5-mi) › Daytime Population: ±63k (3-mi); ±115k (5-mi) OPTIMAL LEASE STRUCTURE - Attractive 20-year sale-leaseback - Four (4), 5-year renewal options - 1.5% rent escalations every year through the entire lease - Triple net (NNN) lease with NO landlord responsibilities - Tax advantages with accelerated & bonus depreciation due to fee simple ownership LARGE FRANCHISEE & DOMINANT BRAND - Largest Circle K franchisee - Expanding ±135 unit operator across 6 states (AL, AR, GA, LA, SC, TN) - 26+ year operating history - Circle K is an international brand with 15,000+ locations in 20 countries (corporate) MONTGOMERY, AL ADVANTAGE - Home to Alabama’s state capital - Gross Metro Product of $18.6 B (2019) - Low cost of living at 8% below national average (per Forbes) - Major industries include education and defense - Home to Maxwell Air Force Base › Educational and technological center of the US Air Force › Average fiscal economic impact of ±$2.6 B annually › Mission critical military installation as home to Air University › 17,000+ military, civil service, and contracted personnel & 34,000 students - Other Top Employers › Baptist Health: ±4,300 employees › Hyundai Motor Manufacturing Alabama, LLC: ±3,500 employees › Assembly plant for Sonata and Elantra sedans and Santa Fe SUV › HMMA and its suppliers have an annual economic impact of $4.82 B to the State of AL’s economy › ALFA Insurance Companies: ±2,500 employees

Broker of Record

  • Eddie Greenhalgh

    Senior Vice President Investments

    (205) 510-9200

    License(s): AL: 0000882980

    Alabama

Financing By

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