Murphy USA

Highlights:

• New 20-year absolute NNN ground lease with 4 (5-year) options to extend
• Rare 10% rent increases every 5 years (Other Murphy leases primarily feature 8% rent increases)
• Excellent traffic counts and visibility at the signalized, corner intersection of E. Mississippi Ave and S. Chambers Rd (combined 71,100 VPD)
• Nearby on/off ramps of Interstate 225 (132,000 VPD)
• Across from the King Soopers grocery-anchored Village Green Plaza shopping center, which attracts over 2M annual visits (per Placer.ai)
• Outparcel to the Aurora Plaza shopping center (115,000 SF), as well as an adjacent Wendy’s pad
• Limited gas station competition at intersection and in immediate area (King Sooper’s has no gas across street)
• More than 384,500 residents (AHHI $98,474) and 125,200 employees in the 5-mile trade area
• 3 miles from the Buckley Space Force Base (11,000 personnel on site)
• June Opening - Rent has commenced

Description:

SRS National Net Lease is pleased to offer the opportunity to acquire the leased fee interest (land ownership) in an absolute NNN, new construction, corporate guaranteed (NYSE: MUSA), Murphy Oil investment property located in Aurora, Colorado (Denver MSA). The tenant, Murphy Oil USA, Inc., recently signed a brand new 20 year lease with 4 (5-year) options to extend, demonstrating their commitment to the site. The lease features 10% rental increases every 5 years 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 situated at the signalized, corner intersection of E. Mississippi Avenue (38,500 VPD) and S. Chambers Road (32,600 VPD), a high-traffic intersection located 1 mile from on/off ramps of Interstate 225 (132,000 VPD), a primary commuter route in Aurora and the Eastern Denver MSA. Murphy USA is located in a strong retail corridor, across from the King Soopers grocery-anchored Village Green Plaza shopping center, which attracts over 2 million annual visits (per Placer.ai). Additional tenants at the intersection include Walgreens, UCHealth Aurora Emergency Room, McDonald’s, Jack in the Box, KFC, and Taco Bell. Furthermore, the property benefits from significant consumer traffic and retail exposure as an outparcel to the Aurora Plaza shopping center, which offers over 115,000 square feet of space, as well as an adjacent Wendy’s pad. Other nearby national retailers include Home Depot, Sam’s Club, Walmart Supercenter, Target, and the Town Center at Aurora shopping center. Located just 3 miles from Buckley Space Force Base, which employs over 11,000 personnel, and 9 miles from downtown Denver, the tenant has access to a broad consumer base in addition to those in the immediate trade area. The 5-mile trade area includes over 384,500 residents and 125,200 employees, with an average household income of $98,474.

Documents: