Advance Auto Parts

Investment Highlights

NEW 10-YEAR LEASE EXTENSION
• Advance Auto Parts just executed a new 10-year lease extension at this location commencing in August 2021.
• The Tenant has been operating successfully at this location for 14 years.
• There are 5% rent increases every 5 years during each of the 3, 5-year options.
• The Tenant is responsible for taxes, insurance, and utilities and the Landlord for roof, structure, parking lot, and HVAC.

INVESTMENT GRADE TENANT
• Advance Auto Parts is a publicly traded (NYSE:AAP) Fortune 500 company with an investment grade credit rating of BBB-.
• They currently have over 6,290 stores in the U.S., Puerto Rico, Virgin Islands, and Canada.
• Advance Auto Parts has been in business for 88 years and has a current net worth of $3.7 Billion.

ATTRACTIVE LOW RENT & RENT TO SALES RATIO
• The Tenant is only paying a low $9.00/SF ($63,000 a year) in rent at this location which equates to a low price point and offers upside should the tenant ever leave.
• The store has performed well and consistently maintained a sub 5% rent to sales ratio.

PRIMARY RETAIL CORRIDOR
• Strategically positioned at the intersection of U.S. Hwy 74 (12,500 VPD) and King Street (11,000 VPD).
• The property is located on the primary retail corridor of Hamlet and is surrounded by national tenants including Burger King, Dollar General, Dairy Queen, Hardees, and more.
• In addition, there are multiple housing developments and apartments nearby, and the 5-Mile population is 24,615.
• Located 3 Miles from Richmond County Airport that sees an average of 28 aircraft operations per day.

NEAR CHARLOTTE, NC
• Hamlet is located at the junction of three major CSX rail lines approximately 70 miles East of Charlotte and 5 miles from downtown Rockingham.
• Mackall Army Airfield, a primary training ground for the U.S. Army Special Forces, is located in Rockingham, North Carolina. 270,811 military personnel are assigned to Mackall Army Airfield and Fort Bragg.
• Downtown Rockngham is currently being revitalized as part of a ten-year plan named “Shaping Our Future: 2023.”