Located at 100 Conhocton Street, Corning, New York, this Net Leased Rite Aid property consists of a 13,813 sq.ft building that sits on a massive 2.10-acre parcel of land, including two full-service pharmacy drive-thru windows and a Rite Aid Wellness Clinic within the store. The subject property is situated in Steuben County, which is less than an hour’s drive south of Ithaca, NY, and an hour and a half South East of Rochester, NY. Rochester has a wealthy population, having an average annual household income of over $52,000. This Rite Aid property sees a traffic count of more than 18,000 vehicles per day.
The current 20-year absolute net lease has almost 7.4 years remaining with no landlord responsibilities. The offering provides a flat initial term, including a 2 percent hike in each of the four five-year option periods. Positioned at a signalized intersection, the subject property also has access to a non-signalized intersection of Conhocton Street and Denison Parkway that runs through Corning, which is a headquarter to the Fortune 500 Corning Incorporated, earlier known as Corning Glass. When entering downtown Corning from Interstate 86, this Rite Aid pharmacy is the first accessible commercial property.
Rite Aid is the third-largest drugstore business in the United States, second only to Walgreens and CVS. The company operates over 4,600 drugstores in more than 30 states and the District of Columbia. Out of total revenue, the company generates 70 percent of its sales through filling prescriptions, and the rest of the income comes from selling health and beauty aids, convenience foods, greeting cards, and more that also includes around 3,500 Rite Aid brand private-label products. More than 60 percent of Rite Aid stores are freestanding buildings, with half of them having drive-thru pharmacies. Founded in 1962, Rite Aid is currently in the negotiation terms with Walgreens Boots Alliance for the latter purchasing it.
This investment property is suitable for a 1031 exchange.
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