CVS | Absolute NNN Lease | 3 Year Rent Holiday
11127 Jefferson Ave Newport News, VA 23601
Price: $9,525,000
Status: Sold
Cap Rate: 6.35%
Year Built: 2009
NOI: $604,836
Lot Size: 2.33 acres
Price Per Foot: 720
Lease Type: Absolute (NNN) Lease
Remaining Term: 13 Years
GLA: 13225 sqft
Property Intro
Lee & Associates, listed in conjunction with Bang Realty, Inc. (lic# 226031911), is pleased to exclusively offer for sale the opportunity to acquire the fee simple interest in a CVS Pharmacy investment property located in Newport News, Virginia (the “Property”). Constructed in 2009 as a build-to-suit for CVS, the Property consists of a 13,225-square-foot retail building with drive thru lane situated on a 2.33-acre parcel.
investment highlights
- CVS HEALTH CORP: INVESTMENT GRADE CREDIT (S&P: BBB) • 2ND LARGEST RETAIL PHARMACY IN THE U.S. • #5 ON THE FORTUNE 500
- Standard & Poor’s investment grade credit rated tenant CVS Health Corp. (S&P: BBB). CVS Pharmacy is currently the second largest retail pharmacy in the US, behind Walgreens. CVS is part of CVS Health Corporation, which includes CVS Pharmacy with 9,700 retail pharmacies, CVS MinuteClinic with more than 1,100 walk-in health care clinics, CVS Caremark, a leading pharmacy benefits manager with over 90 million plan members, and CVS Specialty, a dedicated senior pharmacy care business serving more than one million patients per year. In 2020, it ranked 5th on the Fortune 500 and 13th on the Fortune Global 500 list with $194.58 billion in annual revenue.
- 13 YEARS REMAINING ON LEASE TERM • ZERO LANDLORD RESPONSIBILITIES • LONG-TERM PASSIVE INCOME STREAM • LENDS TO TENANT’S LONG-TERM PROFITABILITY
- CVS Pharmacy has 13 years remaining on the original 25-year triple-net (NNN) lease term. The Absolute NNN aspect of the lease provides for zero Landlord responsibilities, offering an investor a passive income stream with a strong credit tenant.
- PROXIMITY TO MAJOR MEDICAL CENTERS • 9 MILES FROM LANGLEY AFB, NASA’S LANGLEY RESEARCH CENTER • EXCELLENT DEMOGRPHICS
- The Property is strategically located within 1 mile of several hospitals and medical centers including Riverside Regional Medical Center (450 beds), and Sentara CarePlex Hospital (224 beds), and is only 2 miles from Christopher Newport University, a Liberal Arts & Sciences college ranked #4 Public Regional Universities in the South, with an enrollment of 5,000 students. Approximately 9 miles to the east is the Langley Air Force Base & NASA’s Langley Research Center, which is comprised of 200 facilities on 764 acres, employing 3,400 civil servants and contractors. Additionally, the area benefits from strong demographics, with over 165,000 people with an Average Household Income of nearly $83,000 within 5-mile radius.
- HARD CORNER SIGNALIZED INTERSECTION • MAJOR TRAVEL CORRIDOR (70,000+ CPD) • STRONG NATIONAL TENANT MIX PROVIDES RETAIL SYNERGY
- The property is ideally located at the hard corner signalized intersection of Jefferson Ave & Harpersville Rd, offering excellent visibility & signage to combined traffic counts of 61,000+ cars per day, as well as multiple access points in/out of the property. Jefferson Avenue is a major retail/travel corridor offering direct access to Interstate 664 (70,000+ CPD). This corridor is home to national tenants Walmart Neighborhood Market, O’Reilly Auto Parts, Bank of America, Family Dollar, Chevrolet, Ford, and many more, offering strong retail synergy.
- LOCATED IN CITY OF NEWPORT NEWS • 5TH-MOST POPULOUS CITY IN VIRGINIA • ECONOMY SUPPORTED BY SHIPBUILDING, MILITARY, AEROSPACE • HOME TO THE NEWPORT NEWS SHIPBUILDING CO., SOLE DESIGNER/BUILDER OF U.S. NAVY AIRCRAFT CARRIERS
- The subject property is located in Newport News, Virginia, which is the fifth-most populous city in Virginia. The area’s major economic industries are shipbuilding, military and aerospace. Newport News is home to Newport News Shipbuilding, the sole designer, builder and refueler of U.S. Navy aircraft carriers and one of two providers of U.S. Navy submarines. With approximately $4 billion in revenues, Newport News Shipbuilding is the largest industrial employer in Virginia and the largest shipbuilding company in the United States, employing over 25,000 people.
- 30 MILES NORTHWEST OF NORFOLK • HOME TO THE WORLD’S LARGEST NAVAL BASE • ONE OF THE TOP 10 BOOMING DOWNTOWNS (USA TODAY)
- Newport News lies 30 miles northwest of Norfolk. Norfolk is home to the world’s largest naval base and the North American Headquarters for NATO. USA Today called Norfolk one of the Top 10 booming downtowns, recognizing a decades-long housing, retail and financial boom in the area.
listing agents
