RaceTrac: Hiram, GA (Atlanta MSA)
LONG TERM CORPORATE LEASE
There are approximately 11.75 years remaining on the initial lease term with 7.5% rent increases every 5-years, which continue through each of the seven, 5-year renewal option periods. The lease is absolute net, with no landlord maintenance responsibilities and comes with a corporate guarantee from RaceTrac Petroleum, Inc..
RaceTrac has been operating since 1934, which is an 87-year operating history. The Company now operates over 550 convenience store locations in Florida, Georgia, Louisiana, Tennessee, and Texas. RaceTrac generated $9.6 Billion in Revenue in 2021.2
OUTSTANDING LOCATION | EXCEPTIONALLY HIGH TRAFFIC COUNT OF 53,000 VPD
The Property has strong visibility at the four-way signalized corner of Jimmy Lee Smith Parkway and Bill Carruth Parkway with access from both thoroughfares. The traffic count at the intersection is in excess of 53,000 cars a day.
STRATEGIC LOCATION DIRECTLY ACROSS FROM WELLSTAR PAULDING HOSPITAL
The Subject Property is situated directly across from Wellstar Paulding Hospital (294-beds). RaceTrac is only 15 minutes from Paulding NW Airport Georgia and 35 minutes to Downtown Atlanta.
STRONG DEMOGRAPHICS | $73K AVERAGE HH INCOME 1-MILE RADIUS
The Property offers favorable demographics for the region with an average household income of $73,471 within a one-mile radius that increases to $86,350 within a five-mile radius.
STRONG POTENTIAL TAX ADVANTAGE | 100% BONUS DEPRECIATION IN YEAR 13
The estimated bonus depreciation in Year 1 for the Subject Property is $4,580,000. Please see the IRS Circular 230 Disclosure below. Current rules allow investors to immediately write off 100% of the improvement value in Year 1 if certain requirements are met, and the property is placed in service after September 27, 2017. This went into effect after the Tax Cuts and Jobs Act when bonus depreciation was raised to 100% through the end of 2022.
ATLANTA MSA LOCATION
Located in Hiram, 27 miles southeast of downtown Atlanta, the site benefits from its proximity to the economic hub of the Southeast. The region has a population of roughly 6.0 million people and over the next five years is expected to add approximately 288,000 residents. Atlanta ranks as one of the nation’s top markets for Fortune 500 companies. UPS, Delta Airlines, Coca-Cola, and Home Depot represent a portion of the 16 companies with headquarters in the metro.
(1) Rentable Area, Lot Size, Guarantor, Lease Terms, Building Specifications, Year Built, and demographics are estimates. Buyer is responsible for verifying during the Due Diligence process.
(2) Sources: RaceTrac.com, Forbes, Factset
(3) IRS Circular 230 Disclosure: Agent and its affiliates do not provide tax advice and nothing contained herein should be construed to be tax advice. Please be advised that any discussion of U.S. tax matters contained herein (including any attachments) (i) is not intended or written to be used, and cannot be used, by the recipient of any Information for the purpose of avoiding U.S. tax-related penalties; and (ii) was written to support the promotion or marketing of the transaction or other matters addressed herein. Accordingly, any recipient of this offering summary or of the Information should seek advice based on your particular circumstances from an independent tax advisor.
GA Broker of Record: John Leonard
License: 252904
