Investment Offering
Okemos, MI - Rite Aid
1664 W. Grand River Road | Okemos, MI 48864
$2,566,000
Price7.25%
Cap Rate$186,035
NOI11,180
± SF Offering GLADescription
SRS National Net Lease Group is pleased to offer the opportunity to acquire the fee simple interest (land & building ownership) in a NNN leased, corporate guaranteed, drive-thru equipped, Rite Aid investment property located in Okemos, MI (Lansing MSA). The tenant, Rite Aid of Michigan, Inc., has over one year remaining on their initial term with 5 (5-year) option periods left to extend. The lease features scheduled rental increases at the beginning of each option period (see rent roll), growing NOI and hedging against inflation. The lease is guaranteed by the corporate entity (NYSE: RAD), and is NNN with limited landlord responsibilities, making this an ideal, low-management investment opportunity for a passive investor. Rite Aid operates a chain of retail drugstores and is among the largest pharmacies with over 2,400 locations through the United States.
Location
Rite Aid is strategically located at the signalized, hard corner intersection of W. Grand River Road and Central Park Drive, averaging a combined 37,100 vehicles passing by daily. W. Grand River Road / State Highway 43 is a commonly used commuter route that provides direct access into Downtown Lansing. The freestanding building is complete with a drive-thru pharmacy to maximize both sales and convenience for the customer base immediately surrounding the site. Rite Aid is ideally situated within a dense retail corridor and is within walking distance to both Meridian Towne Center (250K+ SF) and Meridian Mall (672K+ SF). The surrounding national/credit tenants include The Home Depot, Target, Kroger, Marshalls, Macy’s, Best Buy, PetSmart, ALDI, and others. Strong tenant synergy increases consumer draw to the immediate trade area and promotes crossover store exposure for the site. Furthermore, the property is near numerous single-family communities and multi-family complexes including ArrowTree Apartments (114 units), Hamilton Trace (146 units), Meridian Meadows (220 units), and others, providing a direct residential consumer base for the site. The 5-mile trade area is supported by over 93,900 residents and 50,000 daytime employees. Residents within one mile of the subject property boast an affluent average annual household income of $120,936.