Rare Absolute NNN Grocery | Lucky (Save Mart) | Hayward, CA | Annual Rent Increases | 6.20 Cap Rate

Highlights:

• Rare Single-Tenant Absolute NNN Grocery Asset This investment offering includes a ±45,865 SF single-tenant Lucky California grocery store on a ±3.60 acre parcel, operating under an absolute NNN lease with zero landlord responsibilities. Located in the heart of Hayward, the site is ideally located at the Jackson Street off-ramp/on-ramp to the 880 Freeway.
• Prime Infill East Bay Area Location Lucky Supermarket is located in a dense commercial area surrounded by rooftops, shops, parks, and schools. Nearby national tenants include Starbucks, Safeway, CVS, Chase Bank, 24-Hour Fitness, and more. The property benefits from 77,953 cars per day at the intersection of Jackson Street and Santa Clara Street, offering exceptional visibility and access.
• Corporate Lease with Save Mart Companies The Tenant, Lucky, is operated by Save Mart Companies, which operates more than 200 stores across California, Nevada, Oregon, and Washington under the Save Mart, Lucky, FoodMaxx, Roth’s, and Chuck’s Fresh Markets banners. The lease is corporate-backed, providing credit security. The supermarket has an in-store pharmacy in addition to grocery items.
• Strong Parent Company – The Jim Pattison Group Save Mart is owned by The Jim Pattison Group, a diversified conglomerate with over $19 billion in annual revenue and 59,000+ employees, further enhancing the credit profile of the tenancy.
• Essential Daily Needs Retailer Lucky serves as a critical provider of fresh and organic groceries to the surrounding community. As one of the few grocery-anchored centers in the area, Lucky Supermarket is a key retail destination.
• Fee Simple Ownership with Depreciation Benefits Investors benefit from fee simple ownership and the ability to depreciate improvements, enhancing after-tax cash flow.
• Long-Term Lease with Built-In Growth The lease commenced in December 2021 and runs through November 2036, with approximately eleven (11) years remaining. It includes 1.75% annual rent increases and three (3), five (5)-year options plus one (1), three (3)-year and eleven (11)-month option, ensuring stable and growing cash flow.
• Absolute NNN Lease – Zero Landlord Responsibilities The tenant is responsible for all expenses, including property taxes, insurance, utilities, HVAC, CAM, roof, structure, and parking—offering a true passive investment.
• Retail Synergy in Gateway Plaza Shopping Center The property is part of a well-established shopping center with national co-tenants including Popeyes, State Farm, Subway, Ohana Hawaiian BBQ, The UPS Store, Ace Check Cashing, EV-Go Charging Stations and multiple daily needs tenants, driving consistent foot traffic and cross-shopping.
• Ideal 1031 Exchange Opportunity With a corporate-backed lease, strong NOI growth, and zero management, this asset is a perfect fit for investors seeking a stable, long-term, cash-flowing 1031 exchange replacement.

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