Pick N Save | Strong Sales History | Kroger Corporate Guaranty
Waterford, WI (Milwaukee MSA)
Price: $4,778,906Cap Rate: Building SF: 42,586 SFLot Size: 5.19 AcresYear Built: 1996Status:

Investment Highlights: 

Investment Grade Credit Tenant – Kroger Co Corporate Guaranty – S&P BBB Credit Rating – The property is leased to Roundy’s Supermarkets, Inc., a wholly owned subsidiary of Kroger Co. (NYSE: KR), which is one of the world’s largest grocery retailers, with fiscal 2016 sales of $115.3 billion. The lease comes with a guaranty from Kroger Co. who has an investment grade credit rating of “BBB” by Standard & Poor’s.

21 Year Successful Operating History – Early 12 Year Lease Renewal – Strong Reported Sales History  – Pick N Save has been operating successfully at this location since 1996 (21 years), and recently extended the lease for another 12 years, demonstrating a continued commitment to the site. This location has seen strong store sales, averaging $423 per square foot in sales since 2007, confirming the tenant’s long-term profitability at this site.

Long Term Absolute NNN Lease – No Landlord Responsibilities  – The Absolute NNN lease offers a rare instance in the single tenant grocery investment sector where the tenant handles roof, structure, parking lot, and pays property taxes directly.

Dominant Grocer in the Region – Limited Competition Within 5 Miles – Pick ‘N Save is the dominant grocer in Southeastern Wisconsin and Roundy’s Supermarkets Inc. has over 150 locations throughout the Midwest.  This Pick ‘N Save is the only grocery store within a 5-mile radius of the area, servicing a surrounding population of nearly 21,000 residents.

Quick Freeway Access – Excellent Signage & Access – The subject property is located within a couple of miles of State Route 36, offering quick access to surrounding cities including Milwaukee, Racine and Kosha just 30 minutes away, and connecting to Madison and Chicago a mere 90 minutes away. The site offers a hard corner location at N. Milwaukee Street and Foxmead Crossings, offering excellent signage and multiple access points.

Located Within Milwaukee MSA – Strong Household Incomes  – The subject property is located just 27 miles from Downtown Milwaukee, and is part of the Milwaukee-Racine-Waukesha, WI Combined Statistical Area (CSA), which had an estimated population of 2.026 million in the 2010 census.

The median household income for Waterford’s trade area is $67,058, significantly more that the state average of $49,824. The average per capita income for the trade area was also significantly more that the state average. An estimated 26.8% of Waterford trade area households had incomes of over $100,000 compared to only 16.6% of state households..


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