Net Leased Dollar General Sold

The Boulder Group, a net leased investment brokerage firm completed the sale of a single tenant Dollar General located at 1055 Indiana 23 in Knox, Indiana for $1,625,000.

The 10,566 square foot building is located at the intersection of State Route 23 and State Route 8 in Knox, Indiana. Knox is positioned roughly halfway between Chicago and Fort Wayne. The location features ideal demographics for a Dollar General. There are over 14,100 people living within a seven-mile radius. The average household income within the same radius is $72,631. Additionally, the property benefits from its proximity Bass Lake which is a popular fishing and watersports destination for surrounding communities.

Randy Blankstein and Jimmy Goodman of The Boulder Group represented the seller in the transaction. The seller was a Midwest based developer and the buyer was a family partnership based in the Midwest.

There are fourteen years remaining on the Dollar General lease. The lease features 10% rental escalations in each of the four 5-year renewal option periods. The lease also features a corporate guaranty. Dollar General is an investment grade rated company with a Standard & Poor’s rating of BBB. Dollar General operated more than 12,500 stores in 43 states.

“New construction properties with long term leases to investment grade tenants with rental escalations are the most sought-after net lease product” said Randy Blankstein, President of The Boulder Group.  Jimmy Goodman of The Boulder Group, added, “The market for new construction net leased dollar stores remains active as they offer a stable investment at low price levels.”

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