AutoZone | Hard Corner Signalized Intersection
Salinas, CA (Monterey County)
Price: $2,160,000Cap Rate: Building SF: 3,165 SFLot Size: 0.52 AcresYear Built: 1987Status: Closed

Investment Highlights: 

AutoZone (S&P: BBB) – Investment Grade Credit Tenant – $8.1B in Annual Sales – Nation’s #1 Retailer/Distributor of Auto Parts – The property is leased to AutoZone (corporate), the nation’s #1 leading retailer/distributor of automotive replacement parts and accessories. AutoZone is a Fortune 500 company and holds an investment grade credit rating of “BBB” from Standard & Poor’s. AutoZone reports more than $8.1 billion in annual sales with more than 5,000 stores in US, Puerto Rico, Mexico, and Brazil.

Successful 31+ Year Operating History – Multiple Lease Extensions Reflect Profitability & Commitment to Location – 4+ Years Remaining on Absolute NNN Lease  – AutoZone has successfully operated at this signalized hard corner location for over 31 years demonstrating long term profitability and an unwavering commitment to the site.

 

AutoZone’s absolute triple-net (NNN) lease has 4+ years remaining on the term and offers a truly passive “mailbox money” type of income stream to an investor. The Landlord has zero management responsibilities as the Tenant pays for taxes, insurance while maintaining the roof, structure, parking lot and HVAC.

Located on Hard Corner Signalized Intersection – Excellent Traffic Counts (40,000 CPD) – Proximity to Highway 101 (73,000 CPD)   – The subject property is located on the hard corner signalized intersection of E. Alisal St & S. Sanborn Rd, which see combined traffic counts of 40,000+ cars per day, offering outstanding visibility and in/out access to the property. Additionally, AutoZone is located less than a mile from the Sanborn Rd on/off ramp to Highway 101 (traffic counts of 73,000 cars per day) for quick access to nearby Monterey & the Pacific Ocean.

Across from FoodsCo-Anchored Center – Excellent Retail Synergy – Close to Industrial Parks, Truck Operations – The AutoZone property is located on E. Alisal St at N. Sanborn Rd, across from a FoodsCo-anchored shopping center, with co-tenants including FoodsCo, MetroPCS, DQ Grill, Factory 2-U, Mobil, Burger King, Little Caesar’s, McDonald’s, Chase Bank, and more, offering outstanding retail synergy. In addition, the property is located within a mile of nearby industrial parks and trucking/distribution properties, offering a strong customer draw to the site.

Area of Strong Housing Growth – Dense Infill Location – Excellent Demographics – The subject property is located in North Salinas, which is seeing extensive growth and is an area poised for new development, with 11,700 new homes (1,500 new homes per year over the next 8 years). AutoZone is also ideally located in a dense infill location amongst their targeted demographic, with over 142,000 people within a 3-mile radius with an average household income of nearly $69,000.

Proximity to Coastal City of Monterey & Pacific Ocean – Outstanding Tourist Destination  – The subject property is located just 19 miles northeast of the coastal city of Monterey, and 10 miles east of the Pacific Ocean. Monterey is approximately 115 miles south of San Francisco and 350 miles north of Los Angeles. Monterey is known for its abundance and diversity of marine life, and an approximate 4 million visitors come to Monterey to see the sea lions, sea otters, harbor seals, pelicans and dolphins that inhabit the area. The area’s diverse attractions, dramatic coastline, historic architecture, and access to marine wildlife all combine to drive this economic component.


Ryan Barr

rbarr@lee-associates.com
O. 760.448.2446
F. 760.929.9977

Ryan Bennett

rbennett@lee-associates.com
O. 760.448.2449
F. 760.929.9977