CVS Pharmacy – Los Angeles, CA

  • RM386566_rev

Available $15,750,000 - Retail - Single Tenant
Cap Rate:  4.48%Size:  14,472 SFTerm:  11 Years Remaining Print

 Investment Offering & Highlights

  • RARE RENT INCREASES DURING THE INITIAL TERM
    Lease provides for 7.5% rent increases every 5 years during both the initial terms and renewal options
  • ABSOLUTE NET LEASE STRUCTURE
    Zero landlord responsibilities for operating or capital expenses
  • BBB CREDIT RATING BY STANDARD & POOR’S
    Tenant’s parent company is publicly traded on the NYSE and reported annual revenues in excess of $256
    billion in 2019
  • LOCATED IN THE HEART OF THE LOS ANGELES MSA
    Over 105,000 residents within a 3-mile radius and over 218,000 residents within a 5-mile radius
  • POSITIONED AT THE FOOT OF THE AFFLUENT PALOS VERDES PENINSULA
    Average household income exceeds $103,000 within a 3-mile radius

Property Description

THE SUBJECT PROPERTY IS A 14,472 SQUARE FOOT CVS LOCATED IN THE LOS ANGELES COMMUNITY OF SAN PEDRO, CALIFORNIA. CVS EXECUTED A 25 YEAR LEASE WHICH COMMENCED IN 2006, LEAVING APPROXIMATELY 11 YEARS REMAINING ON THE INITIAL LEASE TERM. THE LEASE IS STRUCTURED WITH RARE 7.5% RENT INCREASES EVERY FIVE YEARS DURING BOTH THE INITIAL TERM AND AND OPTION PERIODS.

The lease is absolute net providing for zero landlord responsibilities. CVS, which is publicly traded on the New York Stock
Exchange under the ticker symbol “CVS”, has a current BBB credit rating by Standard & Poor’s and reported annual revenues in
excess of $256 billion in 2019.

Located at the signalized intersection of South Gaffey Street and West 8th Street, the subject property features excellent exposure
along the area’s main traffic and retail corridor with daily traffic counts in excess of 55,000 vehicles. This densely populated area is
home to over 101,000 residents within a three mile radius and over 211,000 residents within a five mile radius.

The property is positioned at the foot of the Palos Verdes Peninsula, drawing from the affluent communities of Rancho Palos
Verdes, Rolling Hills and Palos Verdes Estate as well as Redondo Beach and the Hollywood Riviera. Average household income within
a three mile radius of the subject property exceeds $103,000.

The site is approximately one mile from the Port of Los Angeles, the nation’s busiest port with over $272 billion of cargo
annually representing approximately 20% of the cargo arriving in the country. Additionally, CVS is located less than one mile east
of Providence Little Company of Mary Medical Center, a 356 bed regional hospital.

Additional Details

  • Price: $15,750,000
  • Cap Rate: 4.33%
  • Lease Term: 11 Years Remaining
  • Building Size: 14,472 SF
  • Lot Size: 1.15 Acres
  • Status: Available
Property Location