O'Reilly Auto Parts | 15-Year Corporate Guaranteed | 5.75% Cap Rate

Twist Capital Team of Colliers is pleased to present the fee simple interest in a freestanding O’Reilly Auto Parts at the hard corner of Ward Road and Parkway Drive in Salyersville, Kentucky, the seat of Magoffin County. The store was built to suit for O’Reilly in 2021 as the company’s current prototype and is subject to a 15-year corporate guaranteed lease with about 10 years of primary term remaining, a 6% rental increase in July 2031, and 6% increases at the start of each of the four 5-year renewal options.
The offering is priced at $1,842,000, a 5.75% capitalization rate on current net operating income of $105,904. The seller will carry 50% of the purchase price at 4.75% interest only for 5 years. Those terms do not exist in today’s lending market, and they change the return profile of this deal entirely.

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