1000 E King Ave
Kingsville, TX 78363
Retail Property For Sale

Marcus & Millichap is pleased to offer the opportunity to acquire a 10,908-square foot freestanding building leased to CVS Pharmacy located in Kingsville, Texas. The absolute net lease has no landlord responsibilities and has a corporate guarantee from national-credit (BBB) CVS, which has been increasingly (recently) seen as a stronger tenant that competitors Walgreens and Rite Aid. Approximately 9 years remain on lease, and the tenant has additional options for renewal with scheduled rent increases at the beginning of each renewal period. Constructed in 1998, the building is situated on 1.33 acres. In addition to the 2.3% rent bump effective June 1st, 2023, there are two additional 5-year options: a 10% increase in 2028 and a 2% increase ($254,166) in 2033. The subject property is located at the signalized hard corner of King Ave and 14th St ("Main and Main"), with ingress and egress points from both roads. Cumulative traffic counts are in excess of 27,700 vehicles per day. There is a Walgreens, McDonald's, and Burger King on the 3 adjacent corners. Also features proximity to Walmart, H-E-B, O'Reilly, AutoZone, Dairy Queen, Domino's, Firestone, KFC, Whataburger, Sonic, Popeye's, Taco Bell, and many more. Not Going Anywhere: This location enjoys limited competition from there being only one other national credit pharmacy in town. The adjacent Walgreens (also the only one in town) was built 6 years later and also signed a long-term lease based on both the limited competition and its entrenched ‘Main & Main’ location. The nearest CVS (and Walgreens) is 35 minutes away (30 miles). To the South, the nearest national pharmacy is 73 miles, or slightly over 1 hour’s drive. As a result of little competition, store sales at this site were last reported at $7.4 million. This 3% Rent-to-Sales ratio is about half the industry average indicating it is an exceedingly profitable store. Kingsville is located along Highway 77 between Corpus Christi and Harlingen, and is the county seat of Kleberg county. It is part of the Corpus Christi-Kingsville Combined Statistical Area, which has a population of more than 500,000. The city is home to Texas A&M University-Kingsville (9,200 students enrolled) and Naval Air Station Kingsville. NAS Kingsville is one of the U.S. Navy’s two locations for jet aviation training, has a total employment of 4,492, and contributed more than $676 million to the Texas economy in 2017, according to the Texas Comptroller of Public Accounts.