2318 S Airport Way
Stockton, CA 95206
Retail Property For Sale

PRICE JUST REDUCED TO $2,285,000 for only $113 per square foot and an existing 7.0% CAP RATE! Marcus & Millichap is pleased to exclusively present for sale a 20,300 square foot single tenant retail building leased to Family Dollar discount store priced at an existing 7.0% CAP RATE at $2,285,000 which is only $113 per square foot! Built in 1964 and remodeled for Family Dollar located at a corner intersection at 2318 Airport Way, Stockton, California 95206 only one mile from San Joaquin Fairgrounds, Say Soccer Complex and William Brotherhood Park. This Family Dollar discount store, a public company with stock traded on the stock market as "DLTR", is Corporate owned and commenced in April 2018 and expires on March 31, 2028. There are four (4), successive five (5)-year options with rents increasing 5.8% for the 1st Option on April 2028 which would be a 7.4% cap rate then increasing 10% for each remaining three options for future cap rates at 8.1%, 9.0% and 10%. While Family Dollar leased the entire 20,300 square feet, it occupies only 9,589 square feet leaving 10,711 square feet unused and vacant. Should Family dollar ever vacate the property, the Owner may re-lease the entire 20,300 square feet to another single tenant or subdivide to two or more tenants. Currently, Family Dollar is paying only $.66 NN per square foot while market rents in the area are over $1.00 NNN per square foot. At a potential future tenant rental of only $1.00 NNN for $20,300 per month could possibly translate to a 10.7% cap rate! Family Dollar is an American variety store chain. With over 8,000 locations in all states except Alaska and Hawaii, it was the second largest retailer of its type in the United States until it was acquired by Dollar Tree in 2015 and its headquarters operations were moved from Matthews, a suburb of Charlotte, North Carolina, to Chesapeake, Virginia As one of the nation’s fastest-growing retailers, Family Dollar offers a compelling assortment of merchandise for the whole family, ranging from household cleaners to name-brand foods, from health and beauty aids to toys, from apparel for every age to home fashions, all for everyday low prices. While shoppers can find many items at $1 or less, most items in the store are priced below $10, making shopping fun without stretching the family budget. The City of Stockton is home to approximately 300,000 people. Historically, the city has been an agriculturally based economy, however telecommunications and manufacturing have also become important aspect of the economy. Stockton is a large urban center and is the 13th largest city in the State of California. The major sectors for employment in Stockton include healthcare, agriculture, construction, government, finance, insurance and education. With Stockton's continued growth comes new residents, new businesses, new opportunities, and new construction projects. Today's urban redevelopment is helping to bring the City of Stockton into the 21st century in exciting and dynamic ways. The nearby Port of Stockton, just five miles away, is a very busy Import / Export hub with ocean going vessels shipping break-bulk and containerized cargos by land or sea. The property is strategically located between the Hwy 99 & I-5 north & south bound traffic. With approximately 14,000 average daily traffic counts, the one mile and three-mile average household incomes are approximately $48,596 and $54,458 respectively and the one-mile and three-mile average population is 16,976 and 112,200 respectively.