PetSmart & Dollar Tree
Fully Occupied | Two National Tenants - PetSmart and Dollar Tree
Strong Historical Occupancy Since 2006 | Original Tenants Recent Extended Leases | High
Traffic Counts 27,900 Cars per Day on U.S. 51
Corporate Leases; PetSmart (B2 Credit Rating) and Dollar Tree (B1 Credit Rating)
Limited Competition - PetSmart only National Pet Store Chain Within 40 Miles
| Nearest Dollar Tree Located Over Five-Miles Away
Excellent Location | Epicenter of Dense Retail Corridor | Across from 825,000-Square Foot
Trade Area Approximately 1.63 Million Square Feet of Retail Space that is 97 Percent Occupied: 10 Hotels, Two Home Improvement Centers, 17 Restaurants, and 50 Plus Stores Within a One-Mile Radius
1460 &1470 Koester Drive, Forsyth, IL 62535
Cap Rate 7.75%
Net Operating Income $351,806
Gross Leasable Area 30,087 SF
Price per SF $150.86
Year Built 2006
Lot Size 3.72 Acres
Marcus & Millichap is pleased to present for sale a fully-occupied two-tenant portion of an overall three-tenant, 69,626-square foot shopping center 1460 and 1470 Koester Drive in Forsyth, Illinois. The PetSmart/Dollar Tree Center is a national tenant community center situated on the east side of Koester Drive. The PetSmart/Dollar Tree Center is part of the Hickory Point Mall regional trade area and sits directly across U.S. Route 51 from the Hickory Point Mall; owned by CBL and Associates Properties. CBL is a real estate investment trust that invests in shopping centers, owning 105 properties. The Hickory Point Mall is the only shopping mall within 45 miles; providing a strong mix of retailers and attracting many potential consumers from the dense residential population of Decatur. The Hickory Point Mall trade area totals approximately 1.63 million square feet of retail space that is currently 97 percent occupied.
Built in 2006, the 30,087-square foot building sits on a 3.72-acre lot shadow anchored by a 39,539-square foot Best Buy (not included in the sale). The subject property also benefits from limited competition, with PetSmart being the only national pet store chain within 40 miles and nearest Dollar Tree located over five-miles away.
The subject property benefits from strong historical tenancy as both tenants are original tenants. PetSmart occupies 20,087 square feet on a corporate backed triple-net (NNN) lease through 2023; featuring three, five-year options that have increases of $0.75 per square foot at the beginning of each option. Dollar Tree occupies 10,000 square feet on a corporate backed gross lease through 2020; featuring two, five-year options that have increases of $0.50 per square foot at the beginning of each option. Dollar Tree's lease converts to a triple-net (NNN) lease at the beginning of the first option on 2/1/2020. Both tenants recently extended their terms, showing strong commitment to the site.
Shadow anchored by Best Buy (Not Part of the Sale)