The Boulder Group, a net leased investment brokerage firm, completed the sale of a single tenant net leased CVS Pharmacy located at 6726 FM 359 South in Fulshear, Texas for $8,057,000. The 14,698-square-foot property is a new 2026 construction and represents the first CVS Pharmacy in the city of Fulshear, Texas. The property is situated within the Houston metropolitan statistical area, which ranks as the 5th largest MSA in the United States by population.<\/p>\n
The CVS Pharmacy at 6726 FM 359 South in Fulshear, Texas is positioned along FM 359, a primary north-south corridor in Fort Bend County. Fulshear is the 2nd fastest-growing city in America, having experienced 190% population growth since 2020. The population within three miles of the property is approximately 26,867 residents. The average household income within three miles of the CVS Pharmacy in Fulshear exceeds $211,000. The average household income within one mile is approximately $202,000. The five-mile population surrounding the property is approximately 94,357 residents. Texas is an income-tax-free state, providing additional benefit to investors. Nearby national retailers include Walmart Supercenter, H-E-B, Kroger, Dollar General, and ALDI. The property benefits from extensive residential master-planned community development throughout the Fulshear, Texas corridor, with thousands of new housing units driving sustained demand for pharmacy and healthcare services. The Houston MSA continues to attract significant corporate relocation and population in-migration, reinforcing long-term retail fundamentals in high-growth suburban submarkets like Fulshear.<\/p>\n
Randy Blankstein, Jimmy Goodman and John Feeney of The Boulder Group represented both parties in the transaction. The seller was a preferred CVS developer. The buyer was a California-based investor completing a 1031 exchange.<\/p>\n
The CVS Pharmacy in Fulshear, Texas is leased on an absolute triple net (NNN) basis, requiring zero landlord responsibilities. The lease has 20 years of remaining term. The lease features a 10% rental escalation in year 11 and at each option period. CVS holds six 5-year renewal options, providing a potential total occupancy period of 50 years. The net operating income is $463,330 annually. The NNN lease structure, combined with new construction and a 20-year initial term, provides a passive investment with no management obligations for the property owner. Texas has no state income tax, which enhances the net after-tax return for investors.<\/p>\n
CVS Health Corporation is headquartered in Woonsocket, Rhode Island and is one of the largest healthcare companies in the United States. CVS Health was founded in 1963 and operates approximately 9,000 retail pharmacy locations nationwide. The company employs over 300,000 people and serves millions of customers annually. CVS Health operates diversified business lines including retail pharmacy, pharmacy benefits management through CVS Caremark, and health insurance through Aetna. The company also operates MinuteClinic walk-in medical clinics within many of its retail locations. CVS Health generates more than $300 billion in annual revenue and carries an investment-grade credit rating. The company\u2019s commitment to opening a new pharmacy in the rapidly growing Fulshear, Texas market signals long-term confidence in the trade area.<\/p>\n
\u201cNew construction pharmacy assets with 20-year lease terms and investment-grade tenants continue to attract significant investor demand in the net lease sector,\u201d said Randy Blankstein, President of The Boulder Group. \u201cProperties located in high-growth, income-tax-free states like Texas command premium pricing due to both demographic tailwinds and favorable tax treatment for private investors.\u201d Jimmy Goodman, Partner of The Boulder Group, added, \u201cThis CVS Pharmacy in Fulshear, Texas generated strong interest due to location in one of the fastest-growing cities in the country, and the combination of new construction, a 20-year NNN lease, and an affluent trade area with average household incomes exceeding $211,000 made it an exceptionally compelling offering.\u201d John Feeney, Senior Vice President of The Boulder Group, noted, \u201cThe buyer utilized a 1031 exchange to acquire this property and was attracted by the passive NNN lease structure with zero landlord responsibilities, and the long-term income stream backed by an investment-grade tenant in a rapidly expanding Texas submarket.\u201d<\/p>\n