Circle K 1606 Shepard Ln 4,112 SF Retail Building Intercession City, FL 33848 $2,659,810 CAD ($646.84 CAD/SF) 6.40% Cap Rate

THIS FULLY REMODELED MARATHON GAS STATION IS LOCATED ON ORANGE BLOSSOM TRAIL (US HWY 17), A MAJOR HIGHWAY THAT CONNECTS TAMPA, FL TO ORLANDO, FL! THE PROPERTY SITS AT A SIGNALIZED INTERSECTION WITH HEAVY TRAFFIC! THIS ONE-OF-A-KIND INVESTMENT OPPORTUNITY COMES WITH A 4-PUMP SERVICE STATION, A FULLY REMODELED CIRCLE K SIGNATURE STORE, A NEW (20-YEAR) LEASE, AND STRONG HISTORIC SALES. A BUYER CAN OBTAIN A CAP RATE OF OVER 7% BY 2026, JUST 5 YEARS INTO THE NNN LEASE!
THE TENANT HAS HAD FANTASTIC SUCCESS AT THE SITE DUE TO THE RAPID GROWTH AND DEVELOPMENT OF THE SURROUNDING AREA. THIS IS A SAFE AND EASY WAY TO MAKE A 6.4% TO 9% RETURN FOR THE NEXT 20 YEARS! THE TENANT HAS AN EXTREMELY STRONG BUSINESS, WITH PROVEN HISTORICAL SUCCESS IN THIS LOCATION, WHICH ONLY HELPS STRENGTHEN THIS DEAL!
CURRENTLY, THE PROPERTY WILL HAVE A BRAND NEW 20-YEAR PURE NNN LEASE IN PLACE. THE LEASE WILL BE SIGNED AT CLOSING. THE RENTAL RATE WILL START AT $10,300 (PER MONTH) IN 2022 AND WILL INCREASE BY 10% EVERY 5 YEARS UNTIL THE END OF THE 20-YEAR TERM. EVEN BETTER IS THE FACT THAT THE TENANT HAS (2) FIVE-YEAR OPTIONS TO EXTEND AFTER THE EXPIRATION OF THE INITIAL LEASE TERM. THIS GIVES THE BUYER LOCKED-IN SECURITY AND FANTASTIC RENTAL INCOME FOR THE NEXT 20+ YEARS. THE LEASE IS FULLY GUARANTEED AND BACKED BY A MARATHON GAS AGREEMENT THROUGHOUT THE LIFE OF THE LEASE.
THE PROPERTY CURRENTLY BOASTS AN IN-PLACE CAP RATE OF APPROXIMATELY 6.4% WITH THE RENTAL INCREASES EVERY 5 YEARS BUILT INTO THE CURRENT LEASE THIS NUMBER WILL ONLY GROW! BY 2026, THE BUYER WILL EASILY SURPASS A CAP RATE OF 7% AND THIS WILL RISE 5 YEARS LATER TO OVER A 8% CAP RATE WITH AN UPSIDE FOR MORE AFTER THE INITIAL TERM. A BUYER WILL OBTAIN A CAP RATE OF 9% FOR THE FINAL 5 YEARS OF THE LEASE!
THIS IS THE PERFECT INVESTMENT OPPORTUNITY FOR SOMEONE LOOKING TO LOCK IN A STRONG LONG-TERM INCOME, $123,600 MINIMUM PER YEAR, WITH A STRONG AND PROVEN TENANT. THE OPERATOR (TENANT) HAS MANY OTHER GAS STATIONS IN THE SURROUNDING AREA AND HAS BEEN RUNNING AND OPERATING GAS STATIONS FOR OVER 25 YEARS. THEY ARE SEASONED PROFESSIONALS WHO HAVE A STRONG TRACK RECORD AND A PROVEN BUSINESS MODEL THAT HAS BEEN WORKING FOR YEARS! THE CURRENT SITE DOES AN AVERAGE OF APPROXIMATELY (50,00 GALLONS) PER MONTH AT THIS LOCATION, NOT TO MENTION THE AMAZING STORE SALES OF OVER ($110,000) IN THE NATIONALLY BRANDED AND RECENTLY REMODELED “CIRCLE K SIGNATURE STORE” THAT SITS IN THE REAR OF THE PROPERTY!
ONE MAJOR ADVANTAGE FOR AN INVESTOR IS HOW EASY THIS ASSET IS TO MANAGE. DUE TO THE FACT THAT THE TENANT IS RESPONSIBLE FOR ALL EXPENSES INCLUDING BUT NOT LIMITED TO, ALL PROPERTY REPAIRS, MAINTENANCE, UTILITIES, ALL OTHER CAM CHARGES, PROPERTY TAXES, AND INSURANCE AT THE PROPERTY. THIS ASSET IS VERY EASY TO MANAGE AND MAINTAIN FOR A BUYER WHO LIVES IN THE AREA OR EVEN AN OUT-OF-STATE INVESTOR!
IT IS VIRTUALLY IMPOSSIBLE TO FIND ANY PURE NNN MARATHON GAS STATION ON THE MARKET PRODUCING A 6.4%- 9% CAP RATE LOCKED IN FOR THE NEXT 20 YEARS ANYWHERE ELSE. THIS OPPORTUNITY WILL NOT LAST LONG AS THE SECURITY OF THE TENANT IN PLACE AND THE RENTAL UPSIDE IS IMPOSSIBLE TO FIND ANYWHERE IN THIS MARKET. THE RECENT UPGRADES AND RENOVATIONS ONLY ADD TO THE VALUE-ADD NATURE OF THIS AMAZING ASSET!
THIS FANTASTIC INVESTMENT OPPORTUNITY GETS EVEN BETTER AS THE CURRENT LEASE WILL BE PURE NNN AND THE OWNER IS NOT RESPONSIBLE FOR ANY EXPENSES AT THE PROPERTY. PER THE LEASE, THE TENANT IS RESPONSIBLE FOR ALL PROPERTY TAX, INSURANCE, CAM CHARGES, MAINTENANCE, APPLICABLE SALES TAX, AND ALL REPAIR AND MAINTENANCE AT THE PROPERTY. THE TENANT IS ALSO FULLY RESPONSIBLE FOR ALL REPAIRS AND, MAINTENANCE AT THE BRAND NEW “CIRCLE K SIGNATURE STORE.” THIS ALSO INCLUDES THE ROOF AND NEW HVAC UNIT WHICH SITS ON TOP OF THE CIRCLE K SIGNATURE STORE WHICH WAS REPLACED IN 2019.
FURTHERMORE, THE TENANT HAS AGREED TO REPAIR AND MAINTAIN THE ROOF, OUTSIDE WALLS, FOUNDATION, STRUCTURAL PORTIONS, GAS PUMPS, FUEL TANKS, THE NEW CANOPY, SEWAGE SYSTEMS, AND THE PARKING LOT. THE TENANT IS ALSO RESPONSIBLE FOR ALL UTILITIES, TRASH, WATER, SEWER, AND ALL SERVICES AND SERVICE AGREEMENTS IN PLACE AT THE PROPERTY. THIS LEAVES THE BUYER IN A GREAT POSITION AS THEY ARE NOT RESPONSIBLE FOR ANY OPERATING EXPENSES OR REPAIRS AND MAINTENANCE AT THE PROPERTY IN THE FUTURE.
THIS PROPERTY IS IN FANTASTIC CONDITION AS THE OWNERS SIGNIFICANTLY UPGRADED THE PROPERTY PRIOR TO THE TENANT SIGNING THE LONG-TERM LEASE. RECENT UPDATES INCLUDE A NEW HVAC SYSTEM (2019), NEW ROOF (2015), A NEW SIGNATURE CIRCLE K CONVENIENCE STORE (INTERIOR UPDATED AS WELL AS EXTERIOR), NEW CANOPY (2019), NEW FUEL TANKS & FUEL PUMPS (2017), AS WELL AS NEW EXTERIOR AND INTERIOR PAINT! A BUYER CAN EASILY PURCHASE THIS ASSET AND HAVE APPROXIMATELY ZERO CAPEX EXPENSES FOR THE NEXT 20 YEARS!