INVESTMENT HIGHLIGHTS
SIGNIFICANTLY BELOW MARKET RENT
Albertsons is currently paying just $1.96/SF + NNN in annual rent with market rents achievable in the $17-$20/SF + NNN range, providing a low operating cost for Albertsons and significant upside upon expiration of the current lease in 2032.
RARE SINGLE-TENANT GROCERY RE-DEVELOPMENT OPPORTUNITY
Albertsons just exercised their second to last 5-year option which commenced in December, 2023. The new owner will have a significant opportunity to increase rents to market in 2032 upon expiration of the lease with an estimated stabilized value in excess of $11,000,000.
FUTURE PAD DEVELOPMENT
The Property features a roughly 20,000 SF pad site adjacent to McDonalds that could be re-developed in the future into fast food, coffee, strip retail, or various other tenant uses.
Strong Corporate Albertson’s Lease
The lease is with Albertson’s LLC, which reported over $79.2 billion in revenue in 2023. Albertsons Companies boasts a total of 2,271 stores in 32 states and territories.
ABSOLUTE NET LEASE & FEE SIMPLE OWNERSHIP
The Property features an Absolute Net lease with zero Landlord management or repair responsibilities. The Property features fee simple ownership, with the new owner having the ability to depreciate the value of the real estate improvements to boost after tax returns.
LARGE 2.39 ACRE LOT WITH AMPLE PARKING
The Property features a large, 2.39 acre lot providing for ample parking and future re-development potential.
SURROUNDED BY NEW DEVELOPMENT
The Property is surrounded by new development including a Starbucks, Taco Bell, Panera Bread and Health System of Helena (3 story clinic) in the middle of construction and are projected to open operations later this year.
DOMINANT RETAIL LOCATION WITH EXCELLENT VISIBILITY
The Property is located directly on Hwy 12 and 11th Ave, receiving a combined 29,000+ VPD and is adjacent to I-15 which receives 24,800+ VPD. The Property benefits from its proximity to multiple brand name hotels, including LaQuinta, Days Inn and Hampton Suites. McDonald’s is located as an out-parcel to Albertsons (NAP), and various other national tenants surround the Property including Walmart, Starbucks, Wendy’s, Taco Bell and Walgreens.
AFFLUENT, HIGH POPULATION GROWTH MARKET
Within a 5-mile radius, the population has grown nearly 17% since 2011 and is projected to increase by another 4.7% in the next 5 years, with average household incomes of nearly $87,000. Within a 1-mile radius, the population has grown nearly 12% since 2010.
Listing Agents:
CLAYTON J. BROWN
