Overview

Description

Marcus and Millichap is pleased to present for sale this Walgreens Sublet to Family Dollar in Warwick, Rhode Island. With just under 6 years remaining, this asset provides an investor an opportunity to purchase a high yielding asset with significant lease term remaining, strong financial backing, a lease structure boasting no landlord responsibilities. and a low cost basis providing upside and future repositioning potential in the near future.

Originally leased to Rite Aid on a 20 Year Lease, the site was purchased by Walgreens after their attempted merger in 2017. While not able to purchase the entire Rite Aid company due to antirust regulations, Walgreens purchased over 1900 Rite Aid stores in a $4 Billion + Acquisition. Walgreens upon capturing the important market share in this submarket, immediately set to sublet their lease to ensure they would not cannibalize their existing business, and reduce financial liability.

Today the location benefits from high traffic counts of 25k VPD, affluent Demos, and strategic neighborhood positioning allowing any investor to benefit from the $1.2mm+ of future payable rents, and upside to the real estate in the future.

Highlights

• High density New England real estate - Population North of 200,000 in a 5 mile radius. Traffic count exceeds 25K VPD
• 5.5+ year Absolute NNN Lease paid by Walgreens Co. - No landlord responsibilities
• Strong middle class demos - Average household income $94,000+ in a 1 mile radius
• Value add potential - Large lot provides reposition opportunity
• Shadow anchored by the Rhode Island TF Green International Airport - The main airport of Rhode Island - Servicing 4 million passengers annually
• Strategic neighborhood positioning: Walking distance from Pilgrim High School, John Brown Francis School
• High quality construction - Brick façade and drive-thru

Documents

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