LONG-TERM GROUND LEASE: The land parcel has 13+ year remaining on the Ground Lease followed by twelve, 5-year renewal options with a 10% rent bump at the start of the first option and every 10 years thereafter.
INVESTMENT GRADE CREDIT: The lease is fully guaranteed by Stop & Shop Supermarket Company, LLC. Stop & Shop’s parent company, Ahold Delhaize, has a market cap of $29.3 billion (USD) and boasts an investment grade credit rating of BBB (S&P) and Baa2 (Moody’s).
GENERATIONAL OPPORTUNITY IN A SEVERELY SUPPLY CONSTRAINED MARKET: This is a rare opportunity to own an irreplaceable commercial land parcel in a uniquely supply-constrained market with exceptional barriers to entry.
CORE+ MARKET: The affluent demographics and unique characteristics of a highly sought-after small island create a truly unique market. Nantucket commercial and residential real estate sales in 2017 topped $1.04 billion in volume. The average sale price of a home on Nantucket in 2017 was over $2.3 million.
EXCEPTIONAL DEMOGRAPHICS: This tiny island has a year-round population of approximately 12,000 residents that swells in the summer months to almost 60,000 full-time occupants. In 2017, Nantucket had an average household income of $139,101 and an average household net worth of $1,552,887.
PASSIVE INVESTMENT: The Stop & Shop ground lease on the land parcel is Absolute Triple-net and requires zero Landlord management responsibilities.
FUTURE DEVELOPMENT POTENTIAL: The site is currently permitted for a total gross leasable area of 59,700 square feet. Recent zoning amendments in 2017 were approved to encourage expanded commercial uses including multi-family, elderly housing and “Workforce Housing” bonus lots.
Information concerning the property described herein has been obtained from sources other than Horvath & Tremblay and we make no representations or warranties, express or implied, as to the accuracy or completeness of such information.
