Selling together or separate – United Pacific Gas NNN Leases $16.9M

Published on

Selling together or separate - United Pacific Gas NNN Leases $16M

VICTORVILLE – Two new construction United Pacific gas station NNN leases are selling for a combined $16.9M. The Long Beach based company estimates the leases will generate $347,000 – $375,000 annual income per store.

The new gas stations will be located at 17477 Nisqualli Rd, priced at $8.8M, and 17876 Bear Valley Rd, priced at $8.1M. According to CBRE Investment Properties “Upon commencement – estimated to be October 2022, United Pacific’s absolute NNN lease will feature a 20 year term with 7.5% rent increases every 5 years throughout the initial term…”

 





 

The triple net lease structure is an agreement where the tenant, United Pacific in this case, promises to pay all the expenses of the property, including real estate taxes, building insurance, and maintenance. These expenses are in addition to the cost of rent and utilities. This lease structure limits responsibility for the landlord.

Artist rendering

United Pacific operates 511 gas stations and convenience stores throughout Southern and Northern California, Washington, Oregon, Colorado and Nevada. It distributes fuel for Shell, Conoco, 76 and United Oil. Tokyo-based SoftBank Group Corp, a telecom holding company and investment powerhouse owns Pacific United.

In 2021, they converted all its company-operated convenience stores to the Rocket brand, launched a new website and introduced third-party delivery services. With the recent rollout of the Rocket brand, United Pacific plans to introduce private-label products and roll out a rewards program delivered through the Rocket mobile app, the company said.

According to Business Journal estimates, United Pacific generates about $3 billion in revenue.

Both Victorville properties have a 4.25% cap rate. A lower cap rate is generally associated with a safer or less-risky investment, while a higher cap rate will be associated with more risk. Many advisors feel that a high cap rate is better, or that a good cap rate is between 5% and 10%.

The retail properties have been on the market since July 13, 2022.

For more information about the Hesperia United Pacific visit https://www.loopnet.com/Listing/17876-Bear-Valley-Rd-Victorville-CA/26155036/

For more information about the Victorville United Pacific visit https://www.loopnet.com/Listing/12880-Nisqualli-Rd-Victorville-CA/26155112/

spot_img

Latest articles

Apple Valley Police Department conducting DUI patrols on July 19th

APPLE VALLEY – The Apple Valley Police Department announced it will be out July...

Low-budget airline announces plans to discontinue California operations

CALIFORNIA – Avelo Airlines, a low-budget carrier based in Houston, announced July 14 that...

Air taxi company expands California production  – plans to add hundreds of full-time jobs

CALIFORNIA – Joby Aviation, a company developing electric air taxis for commercial passenger service,...

Newsom taps crypto execs to help make California government more efficient

CALIFORNIA – Governor Gavin Newsom announced, July 15, the California Breakthrough Project, partnering with...

More like this

CA representative Nancy Pelosi discloses over $1 Million in Broadcom stock purchase amid AI surge

CALIFORNIA – California representative Nancy Pelosi has disclosed a purchase of Broadcom Inc. (AVGO)...

New Car Dealer Association offering paid 2-year auto tech apprenticeship to fill 5,000 CA jobs

CALIFORNIA – The California New Car Dealers Association (CNCDA) Foundation, announced July 10 that...

CA bill to extend 3-day rent notice to 14 days stalls in Assembly

202520260SB436_Assembly Judiciary CALIFORNIA – SB 436, a bill that would extend the time tenants...