Single Tenant Net-Lease CVS (Leasehold Interest)
Rio Rancho, NM
Overview
Offering Summary
-
Purchase Price
$1,511,000 -
Rental Income
$183,750 -
Ground Rent
$89,326 -
Net Operating Income
$94,424 -
CAP Rate
6.25% -
Lease Type
Ground Lease (Leasehold Interest) -
Building Size
+/- 14,213 SF -
Land Size
+/- 1.13 Acres
Flanagan Investment Real Estate is pleased to offer for sale a single-tenant, net-lease, leasehold interest CVS. About 13 years remain on the lease term with CVS. The asset is located at 1001 New Mexico Hwy 528, in Rio Rancho, New Mexico. This is a hard corner, signalized intersection at Rio Rancho’s highest trafficked intersection with over 59,600 cars per day. The property ‘s neighboring tenants include Walmart Neighborhood Market, Smith’s, Murphy Express and Popeyes among many others. Rio Rancho which is part of the Albuquerque MSA is one of the fastest growing cities in New Mexico.
The approximately +/- 14,213 sq. ft. building is situated on about 1.13 acres. CVS has operated at this location since 2009. The lease with CVS and the underlying ground lease feature low rental rates. The property features a long-term underlying ground lease with options extending out to the year 2050.
CVS is an investment grade tenant with a credit rating of BBB. CVS is the largest pharmacy chain in the United States by number of locations and prescription revenue. CVS has performed strong with 2021 revenues over $292 billion which are 8.7% higher than the prior year.
