Philadelphia, PA - Carvana

Description:

SRS Real Estate Partners-Northeast, LLC is pleased to offer the opportunity to acquire the fee simple interest (land & building ownership) in an absolute NNN leased, freestanding Carvana investment property located in Philadelphia, Pennsylvania. The tenant, Carvana, LLC has approximately 17 years remaining with 4 (5-year) options to extend, demonstrating their long-term commitment to the site. The lease features increases equal to the lesser of (i) 7.92337% or (ii) 1.25x CPI throughout the initial term and at the beginning of each option period, steadily growing NOI and hedging against inflation. The lease is absolute NNN with zero landlord responsibilities making it an ideal, management free investment opportunity for a passive investor.

The asset is strategically located off Interstate 95, an arterial thoroughfare which serves over 174,000 vehicles per day. Furthermore, the asset benefits from nearby access to Interstate 676 (172,000 VPD) and West Grand Avenue (18,300 VPD), making this an ideal, centralized location with easy commutes. Moreover, the asset is ideally positioned 2 miles north from Fashion District Philadelphia, a 1.1M square foot regional mall anchored by Burlington, AMC, Round 1, Giant, and more. The Fashion District Philadelphia ranks in the top 90th percentile among regional malls nationwide, per placer.ai. Other nearby national/credit tenants Target, Aldi, Ace Hardware, CVS, Macys, Trader Joes, Grocery Outlet, Five Below, and more. Strong tenant synergy increases consumer draw to the immediate subject trade area and promotes crossover tenant exposure to the site. In addition, the asset is located less than 2 miles south from Temple University (21,942 students) and Community College of Philadelphia’s Main Campus (13,672 students), further increasing consumer traffic to the immediate trade area. Lastly, the subject property is within walking distance of multiple apartment complexes including Piazza Alta (695 units), Liberty Square (190 units), Ascension Manor (280 units), and more, providing a direct residential consumer base from which to draw. The dense 5-mile subject trade area is supported by more than 968,000 residents and 648,000 daytime employees. Residents within a 1-mile radius boast extremely affluent average household incomes of more than $145,000.