Big Lots, Inc | 20-Year Absolute NNN Lease With 2% Annual Increases

Highlights:

• Premier Tenant: Burlington (NYSE: BURL) is an American national off-price department store retailer with more than 1,000 stores in 46 states and Puerto Rico, with its corporate headquarters located in Burlington Township, New Jersey.
• Optimal Net-Lease Structure: The Property features twenty (20)-year individual absolute net-lease with over eighteen (18) years remaining where the Tenant is directly responsible for all operating expenses, insurance, and real estate taxes. The lease structure provides investors with superior long-term capital protection in the form of rental rate increases.
• Favorable Renewal Terms & Attractive NOI Growth: Renewal options will vary by state. All initial term and renewal periods will feature a 2.0% annual increase providing for long-term income growth.
• Strong Real Estate Fundamentals: Situated in a dense infill retail corridor of Fresno surrounded by housing and national credit tenants. Population within a 3 mile radius exceeds 148,000 and traffic counts at the intersection exceed 33,000 CPD.
• Attractive Demographic Profiles: Within three miles of the Property, the average population is greater than 148,000 with an average household income of nearly $73,385. Within five miles of the Property, the average population is more than 314,000 and the average household income is in excess of $76,805.
• Appealing Rental Rates & Acquisition Basis: The property is leased below market rents with annual rents of $8.41 PSF average for Retail Store Property. The Property provides for an excellent basis for a collection of well-located premier retail assets.
• Free & Clear of Financing: The Property will be transferred free and clear of debt. Investors will be able to capitalize on today’s attractive debt markets and secure highly aggressive and favorable financing. Please contact Scott Budzenski (+1 310 363 4936; scott.budzenski@cbre.com) with CBRE’s Debt & Structured Finance team to discuss the attractive financing options currently available.
• Strong Intrinsic Value : Anticipated pricing could be below replacement cost, providing strong long-term residual value. Additionally, large lots with attractive zoning potentially allow higher density future redevelopment.
• Value-Add Potential : With large lots and ample parking, the sites and leases potentially allow pad development with tenant approval. Please contact agent for details.

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