FRANKLINVILLE, NJ–CBRE says it has brokered the sale of a net-leased Dollar General store here to an out-of-state investor who offered an “aggressive” capitalization rate deal. The sale price was not disclosed.
The 9,200-square-foot property at 2378 Delsea Drive was built last year and leased to Dollar General for a 10-year term with two five-year option periods. With a corporate guarantee from the tenant, the net-net lease includes a 10% increase in rent at the beginning of each option period.
Dollar General, a publicly traded company, was recently upgraded to investment grade credit by Standard & Poor's and added to the S&P 500.
Charles Berger and Elli Klapper of CBRE's investment properties group represented the seller in the transaction.
“We're seeing a strong demand for assets with investment grade tenants, like Dollar General, on long-term leases,” said Berger. “Our team has closed many similar net-leased transactions in the Tri-State area throughout recent months and is currently very active with both sellers and buyers in the net-lease market.”
The Franklinville property is set on 2.9 acres, which can be developed for used for on-site parking. The property has 212 feet of road frontage, with a daily traffic count of more than 8,800.
The building is close to a US Post Office and a Wawa convenience store.
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