INVESTMENT HIGHLIGHTS
Top Gas Station and C-Store
The Property is ranked in the top 25% for gas station / C-store visits in Washington State (per placer.ai).
SCHEDULED RENT INCREASES
The Property features $0.50/SF rent increases every 5 years (a 7.50% rent increase in 2029) and $0.75/SF rent increases starting in the 2nd option period, providing an investor with a hedge against inflation.
Gas Station Expansion Potential
The Property features a lot size of 0.80 acres between two tax parcels, allowing a new owner the option to expand the gas station offering to include additional gas pumps, an expanded convenience store, and/or a car wash at the end of the current tenants’ lease terms. The Liberty Tax lease includes a landlord termination right to allow for expansion.
Attractive Assumable Financing Available
The Seller’s current loan, fixed at a 4.59% interest rate until June, 2032 and amortized over 30 years, is assumable and features a balance of roughly $1,660,000. Contact listing agent for additional details.
Below Market Rents
Milan Beauty Salon is currently paying just $14.00/SF + NNN and Liberty Tax is currently paying just $12.71/SF + NNN with market rents achievable in the $20/SF – $24/SF + NNN range providing a new owner upside after rents are increased to market.
NNN Leases/Low Management
All tenants operate on NNN leases, minimizing Landlord management/repair responsibility, and allowing for full expense recapture. In addition, a 5% management fee on the CAM expenses is collected as part of the tenants’ CAM payments.
Annual Rent Increases
All tenants have annual rent increases (United Pacific 2.5%/year, Milan Beauty Salon $50/year, Liberty Tax $100/year), providing a hedge against inflation.
Strong Corporate Guarantee from United Pacific
The United Pacific lease is guaranteed by Apro, LLC, which operates more than 450 gas stations and convenience store locations spread across California, Oregon, Washington and Colorado.
Recent Property Renovations
The Property features recent renovations including parking lot reseal/restripe, HVAC upgrades, exterior paint, and façade upgrades.
AAA High Traffic Location
The Property is located directly on the signalized, hard corner of Lacey Blvd SE and Ruddell Rd SE Canyon Road with visibility to over 30,000 VPD and features multiple points of ingress and egress.
Affluent Demographics High-Growth Sub-Market
The population in Lacey, Washington has grown by over 35% since 2010 and is projected to increase by another 5% in the next 5 years, with average household incomes exceeding $96,000 within a 5-mile radius of the property.
No Income Tax State
Washington State is an income tax-free state
Listing Agents:
CLAYTON J. BROWN
Trevor Lane
425.233.9522
trevor.lane@marcusmillichap.com
