Dollar General – Buffalo Center, IA

Pricing & Financial Analysis
Location
1840 Highway 9
Buffalo Center, IA
Sold: $979,310
Closing Date: 07/02/2015
Rentable Sq. Ft.: 9,026 SF Sq. Ft.
Price Per Sq. Ft.: $112.37
Cap Rate: 7.25%%
Type Of Ownership: Fee Simple

Highlights
HVAC – Repairs & Replacement
Full Tenant Expense
Parking Lot – Concrete
True NNN Lease - No Landlord Responsibility
Annualized Operating Data
Rent Increase
Annual Rent
Years 2015 - 2030
Option Periods
 
Years 2030 - 2035
Years 2030 - 2040
Years 2040 - 2045
Real Estate Taxes: Full Reimbursement
Insurance: Tenant

Expenses
Lawn & Parking Lot - Actual:
0
Reserve:
0
Net Operating Income: $71,000
Total Return: 7.00% - $71,000

Tenant Summary
Tenant Trade Name: Dollar General Corp.
Ownership: Public Tenant
Lease Guarantor: Lease Guarantor Corporate, Public, NYSE: DG
Lease Type: Triple Net Lease (NNN)
Roof And Structure: Landlord Responsible
Lease Term: 15.00 Years*
Lease Commencement Date: Date 2/1/2015
Rent Commencement Date: Date 2/1/2015
Lease Expiration Date: 1/31/2030
Term Remaining On Lease: 15.00 Years
Increases: 10.0% Increases Every Five Years during the Options Periods
Options: Three, Five-Year Options
 

HIGHLIGHTS

  • Brand New 15 Year Absolute Net (NNN) Lease – with zero Landlord Liability
  • Excellent Location in Buffalo Center
  • Dollar General Corporate Guarantee ($18.46 Billion Revenue / $5.34 Billion Net Worth approximately)
  • Dollar General: #195 in Fortune 500 – S&P BBB- Rating – Investment Grade
  • 9,026 SF – Larger Store Format
  • All HVAC Units are tenant responsible for repair & replacement
  • Concrete Parking Lot – excellent useful life
  • Three, Five-Year Option Remaining with 10% rental increases
  • Buffalo Center is a town off IA State Hwy 9 near the Iowa Minnesota border just 35 miles north of Algona
  • Low Price per Square Foot for Iowa
  • Buffalo Center local retail nearby includes Farmers Trust & Savings Bank, & Cenex Gas
  • Dollar General has enrolled this store in its national insurance program

The Dollar General # 15,914 – is brand new build in a excellent location. The property is located at 1840 Highway 9 Buffalo Center, IA located on State Hwy 9 just 35 miles north of Algona. The Dollar General property is a 9,026 Square Foot property built in 2015. The rent is a Absolute Net (NNN) lease with zero landlord responsibility. The property is offered at an 7.00% Cap Rate. NO MAINTENANCE is required with 10% increases during the three, five-year options.

Buffalo Center, IA – Buffalo Center is a town on State Highway 9 near the Iowa Minnesota border just 35 miles north of Algona.


CORPORATE DESCRIPTION

Dollar General Corporation is the nation’s largest small-box discount retailer. We make shopping for everyday needs simpler and hassle-free by offering a carefully edited assortment of the most popular brands at low everyday prices in small, convenient locations. Dollar General ranks among the largest retailers of top-quality brands made by America’s most-trusted manufacturers, such as Procter & Gamble, Kimberly Clark, Unilever, Kellogg’s, General Mills and Nabisco.

  • $17.79 billion in sales in fiscal 2013.
  • 11,000+ stores in 40 states
  • About 12,000 core products from America’s most-trusted manufacturers
  • 9+ distribution centers
  • 85,900+ employees
  • BBB- Rating by Standard & Poor’s
  • Headquarters are located at 100 Mission Ridge Goodlettsville, TN

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