Herndon, VA – Calkain’s Executive Managing Director, Andrew Fallon, is bringing an inventory of 11 net leased Dollar General stores to market. The assets, which can be sold individually or as a portfolio, are located throughout Pennsylvania, and are each leased to Dollar General with a 15-year NNN lease. The properties are new construction, having been built in 2016-2017.
Fallon has a track record of success with Dollar General store dispositions. In 2017, he closed 22 Dollar General assets totaling $31.5M in property value. Year-to-date in 2018, he has closed on the sale of 8 Dollar Generals totaling $9.75M, with an additional three currently under contract.
Dollar General remains attractive for private high net worth investors and 1031 buyers. The long NNN lease term and investment grade credit provides a stable, passive income stream at a price point that is affordable, generally trading around $1.5M, and a yield that is attractive and easily financed.
Fallon commented, “In a compressed cap rate environment, Dollar General assets offer an attractive option for buyers looking for positive leverage on investment grade credit.” The knock against dollar stores is that they are typically located in secondary and tertiary markets, but as Fallon points out Dollar General does well in smaller markets with limited competition commenting, “Dollar General is strategically locating in markets where they fill a retail void, and where they can serve as the local convenience store, grocery store and town general store.”
All 11 new Dollar General listings will be brought to market later this week. For more information on these listings, visit our properties page here.
Calkain Companies LLC is a national commercial real estate firm that provides consulting and brokerage services to both private and institutional clientele with an expertise on triple net lease investments. We pride ourselves on providing our clients a full array of commercial real estate investment brokerage and asset management solutions, including advisory, research and capital markets. With our risk tolerance in mind, our professionals identify how best to acquire and dispose of income producing properties for each entities’ specific set of investment criterion, ultimately maximizing investment value.