Broker of Record Jessica Dearnley License No. PB00069947 (AR) Flake & Kelly Commercial 4100 Corporate Center Drive, Suite 101, Springdale, AR 72762 (479) 443-8002
Extreme Commitment – O’Reilly has demonstrated an unbelievable level of commitment to this location suggesting that it’s a strong performer (no reported sales). In 2010, they extended the lease by 15 years after already operating there 10 years prior. However, more impressively they committed to another 15 years this year which extends the base term to 2034.
Recently Expanded Footprint – The previous 7,286 SF footprint was not enough space for O’Reilly in this market, so they decided to expand the store to 9,450 SF, a 30% increase!
Below Replacement Cost and Low Rent – New O’Reilly Auto Parts developments are paying around $14-15/SF, but this store is only paying $10/SF which is roughly 30% less. That not only helps the profitability at this location but also offers this property below replacement cost at $175/SF if purchased at list price
One of the Strongest Credit Ratings in the Retail Industry O’Reilly Ally Auto Parts offers one of the strongest guarantees in the country with a better credit rating (BBB+) than Advance Auto Parts, AutoZone, Albertsons, Capital One, Brinker International, Circle K, Darden Restaurants, DaVita Dialysis, Dollar General, Dollar Tree, FedEx, Fresenius, Kroger, Michael’s, Pep Boys, Yum! Brands, and Walgreens. The current market cap is over $21B, annual revenue is nearly $9B and the stock has more than doubled in the last 5 years.
Next to Paragould’s Main Hospital – The O’Reilly Auto Parts store is a few doors down from Arkansas Methodist Medical Center (AMMC) in Paragould (Greene County) which provides healthcare for residents of northeast Arkansas and southeast Missouri. The 129- bed facility offers a wide range of services such as: Outpatient Surgery, Critical Care, Emergency/Trauma, Ambulance Services, Lab, Imaging, and many others.
Excellent Visibility on Main Thoroughfare – This store is located along Paragould’s main thoroughfare, Highway 412, which features AMMC, Walmart, a new construction CVS and Arby’s, ALDI, Lowe’s, Walgreens, McDonald’s, Tractor Supply and many more. » Minimal Landlord Responsibilities – This lease offers landlords a passive investment because the tenant is responsible for taxes, insurance, HVAC, parking lot, and landscaping whereas the landlord only has responsibility of the roof and structure.