The subject property is a ground lease to 7-Eleven with a corporate guarantee in the affluent Dallas/Fort Worth suburb of Plano, Texas. Eight and one half years remain on the primary term with ten percent rent escalations scheduled every five years. The tenant has three, five-year options for renewal. Constructed in 2005, the 3,050-square foot building and gas station are situated on 1.28 acres.
The subject property is located approximately one mile south of the Sam Rayburn Tollway on McDermott Road at the signalized intersection with Independence Parkway. The property has ingress/egress points from both streets; cumulative traffic counts exceed 44,000-vehicles per day. The center is adjacent to AutoZone, Maso’s Auto Repair, Russell Creek Pet Clinic, and McDermott Square shopping center with a mix of local retail tenants. Other retailers in the neighboring area include Walgreens, McDonald’s, In Touch Credit Union, Chase Bank, Chicken Express, Kohl’s, The UPS Store, Papa John’s Pizza, and more. The area has phenomenal demographics, with a one mile average household income of over $139,460 and a five mile population of 269,716.
Plano is approximately 18 miles north of Dallas in Collin County and ranks as the ninth most populous city in the state of Texas. The city is an affluent hub for many corporate headquarters, such as Alliance Data, Cinemark Theatres, Dell Services, Denbury Resources, Dr Pepper Snapple Group, Ericsson, Frito- Lay, HP Enterprise Services, Huawei, J. C. Penney, Pizza Hut, Rent-A-Center, Traxxas, Siemens PLM Software, and Toyota Motors USA.