Walgreens | New 15 Year Absolute NNN Lease

12490 Central Avenue, Chino, CA

$8,440,777

Price

5.15%

Cap Rate

$434,700

NOI

Overview
Cap Rate
5.15%
NOI
$434,700
Building Size
14,405 sqft
Lot Area
1.92 acres
Lease Type
Absolute Net
Year Built
2002
Description

RARE WALGREENS LEASE WITH RENT INCREASES
The Lease provides 5% fixed rent increases every 5-years during the primary term and the 12, 5 year option periods

NEW 15-YEAR ABSOLUTE NNN LEASE
The subject property operates under a new Absolute NNN Lease with no Landlord management or maintenance responsibilities whatsoever.

INVESTMENT GRADE TENANT
The Lease is guaranteed by Walgreen Co., a subsidiary of Walgreens Boots Alliance, Inc. and rated Baa2/Stable by Moody’s.

WELL-ESTABLISHED LOCATION WITH DRIVE-THRU
The subject property benefits from a drive-through pick-up window to deliver prescription and non-prescription drugs along with many other essential retail items during the COVID-19 pandemic. Walgreens has an 18-year operational history at this location and the new 15-year absolute NNN lease (with increases) reflects their re-commitment to this location for the foreseeable future.

ESSENTIAL RETAILER OPERATING AND ASSISTING U.S. AUTHORITIES DURING THE COVID-19 PANDEMIC(2)
As a global, pharmacy-led health care company, Walgreens Boots Alliance has been working to ensure the safety and well-being of their colleagues, patients and customers during the pandemic of COVID-19. Their retail pharmacies have worked to provide up-to-date information and public health guidelines to customers, and their emergency response teams across the business are actively working to find ways play a greater role in what has become a global emergency – including working with the United States federal government to expand access to COVID-19 testing.

EXCELLENT INFILL LOCATION NEAR HIGHWAY 60 (207,582 VPD) IN SOUTHERN CALIFORNIA’S INLAND EMPIRE
The property has direct access from Central Avenue (46,146 VPD) and is situated just one block from Chino Valley Medical Center (112-beds). The Walgreens is surrounded by several national tenants including Wells Fargo, IHOP, McDonald’s, Big Lots, CVS/pharmacy, Smart & Final, Del Taco, Big 5 Sporting Goods, Denny’s, PetSmart, Burger King, Harbor Freight Tools, Starbucks, Ross Dress for Less, Carl’s Jr., 76, Chevron, AutoZone, The UPS Store, Chipotle, El Pollo Loco, Pep Boys, Sherwin-Williams, Albertsons, Rite Aid, Dollar Tree, GNC, Shell, Subway, Domino’s Pizza, Taco Bell, O’Reilly Auto Parts, Jack in the Box, Papa John’s Pizza, Bank of America, U.S. Bank, KFC and Chino High School (1,931 enrollment in 2018).

Broker of Record- Encino
Adam Christofferson
License CA 01240999
818.212.2750
Adam.Christofferson@marcusmillichap.com

Highlights
  • $136.8 billion in revenue / $26 billion net worth (fiscal year 2019)
  • Investment Grade Tenant - Recently affirmed (4.13.20) s&p rated BBB/stable & moody’s rated BAA2
  • Sales increased 3.7% to $35.8 billion in fiscal 2020 second quarter, year-over-year
  • 9,277 retail pharmacy stores and 500 in-store clinic locations across 50 states, the District of Columbia, Puerto Rico & the U.S. Virgin Islands
  • 78% of the population in the United States lives within 5 miles of a Walgreens, Duane Reade, or an acquired rite aid retail pharmacy
Documents
Title
Offering Memorandum
* Documents permissions are set by the listing owner, request information to access locked documents.

Location
Gallery