The Boulder Group, a net leased investment brokerage firm, completed the sale of a single tenant net lease Pick \u2018n Save property located at N77 W14435 Appleton Avenue in Menomonee Falls, Milwaukee for $28,428,000. The lease is guaranteed by Kroger, and investment grade rated tenant.<\/p>\n
The 103,611 square foot net lease Pick \u2018n Save property is located along Appleton Avenue (14,900 VPD) which is the primary north-south thoroughfare in the area. The Pick \u2018n Save property is well located within the Milwaukee MSA directly across from Menomonee Falls High School (1,300+ students) which drives continual traffic to the corridor. The store is guaranteed by Kroger which is investment grade rated (S&P: BBB). Additionally, the store reports strong annual sales. There is approximately 11 years remaining in the primary term of the lease with rental escalations every five years. There are four 5-year renewal options and the lease is NN (roof and structure). The property was built in 2011.<\/p>\n
Randy Blankstein and Jimmy Goodman of The Boulder Group represented the seller in the transaction. The seller is a Midwest based real estate company and the buyer is a west coast based real estate investment company.<\/p>\n
\u201cThe market for standalone grocery properties remains active due to their built-in customer base,\u201d said Randy Blankstein, President of The Boulder Group.\u00a0 Jimmy Goodman, Partner of The Boulder Group, added, \u201cInvestors pay a premium for grocery stores with a strong sales history.\u201d<\/p>\n
Roundy’s is a subsidiary of Kroger, which operates 145 supermarkets and 99 pharmacies throughout the states of Wisconsin and Illinois. The stores of Roundy’s mainly use that branding as a private label, with three front-facing brands and one former brand: Pick \u2018n Save, Metro Market, Marino\u2019s Fresh Market, Copps. As of December 2015, Roundy’s became a subsidiary of Kroger of Cincinnati, Ohio. Kroger is the United States’ largest supermarket chain by revenue ($121.16 billion for fiscal year 2019), the second-largest general retailer (behind Walmart). Kroger is also the fifth-largest retailer in the world and the fourth largest American-owned<\/p>\n
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