Napa Auto Parts locations can offer an unique opportunity for a buyer to acquire a recession resistant investment, with an attractive lease with rental escalations and minimal landlord responsibility, guaranteed by an investment grade tenant, located on a busy retail corridor in an attractive geographic area. Corporate guaranteed leases are available, and offer another advantage to investors.
Lease agreements can vary between 5 and 20 years in length, however a 15-year NN term seems to be most common Napa Auto Parts lease structure. Specific lease terms and landlord obligations vary, but generally the landlord is responsible for maintenance of the roof and structure. Alternatively, some sites have been leased on an absolute NNN basis with no landlord responsibility. There are usually five percent rent bumps every five years during the initial lease term and 10 percent rent bumps in both of the two, five year option periods.
Read the Full Profile.
Want to continue reading?
Become a Free ALM Digital Reader.
Once you are an ALM Digital Member, you’ll receive:
- Breaking commercial real estate news and analysis, on-site and via our newsletters and custom alerts
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical coverage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
Already have an account? Sign In Now
*May exclude premium content© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
Jonathan Hipp
Jonathan Hipp began his career in real estate over 25 years ago. In his early years as a broker, he ventured into the net lease industry and quickly began leading the US net lease market, closing over $3 billion in transactions. In 2005, Jon founded Calkain Companies, a company focused solely on net lease investment services. As President and CEO, he has been instrumental in building the firm into one of the leading Net Lease real estate companies, transacting over $12 billion of net lease deal volume over the past 13 years. He has expanded Calkain’s services to include brokerage, advisory, asset management, capital markets, and industry research. He has become a well-known resource, panelist, and speaker at various Net Lease and Industry conferences and is a regular contributor to GlobeSt.com on real estate trends. In June 2015, Jon’s passion for the real estate business was again recognized as he was nominated for the Top Real Estate Player in the DC area by SmartCEO magazine.
