Marcus & Millichap is pleased to present for sale this Walgreens located at 719 South State Road 19, Palatka in Florida. Palatka is a city in Putnam County and unlike many cities in the state, Palatka has a large manufacturing sector, employing 17.2 percent of the city’s total civilian workforce. Georgia Pacific is the single largest private employer in the city with 1,470 employees at its pulp, paper and plywood operations. Georgia Pacific recently completed a $400 million investment to this location in 2019 and added 80 full-time jobs with the potential to invest another $100 million in the future.
The subject property consists of 13,905 square feet and is situated on a large 1.69-acre-parcel of land with one full service, pharmacy drive-thru window. This Walgreens is strategically located at the signalized intersection of State Road 19 and Crill Avenue with a combined traffic count exceeding 35,600 vehicles per day. The property is positioned directly in front of Palatka High School with over 1,200 students and across from St. Johns River State College with over 10,900 students.
There are more than nine years remaining on the recently extended net lease with seven additional five-year options. This is an ideal passive investment opportunity with zero landlord responsibilities being offered at five and three quarters percent capitalization rate. Walgreens recently subleased part of its space to Aspen Dental, minimizing downside risk at the end of the lease.
Walgreens is the largest drug retailing chain in the United Stated and has over 8,100 locations in the U.S.A. Walgreens is publicly traded on the New York Stock Exchange (WBA) with a market capitalization in excess of $90 billion. Both Walgreen Co. and Walgreens Boots Alliance, Inc are investment grade rated each with a Standard & Poor’s rating of BBB.
Aspen Dental Management, Inc. is a corporation offering “complete dental care solutions”, providing general and cosmetic dentistry and denture care for families and seniors in more than 33 U.S. States with over 700 locations.