Single Tenant Aldi
Wyomissing, PA
The Opportunity
Summary
- Price: $6,660,000
- Cap Rate: 5.50%
- NOI: $366,298
- Lease Type: Fee Simple: NN
- Building Size: 22,940 SF
- Parcel Size: 0.56 Acres
- Year Built / Renovated: 1997 / 2022 (New Roof)
- Ownership Interest: Fee Simple: Condominium
- Remaining Lease Term: 13+ Years
- Options: Two (2), Five (5) Year Options & One (1), Four (4) Year Eleven (11) Month
- Rental Increases: 10% Every 5 Years
Forged Real Estate is pleased to exclusively offer the opportunity to acquire the fee simple condominium interest in a single tenant property leased to Aldi, (the “Property”) in Wyomissing, Pennsylvania, a borough in Berks County just two (2) miles from Reading. Before Aldi’s lease commenced, a brand new roof was installed in October of 2022 and comes with a 20-year transferable warranty. Aldi’s lease commenced in June of 2023 and has over thirteen (13+) years remaining. The lease features ten percent (10%) rental increases every five (5) years. Aldi is strategically located within the Woodmill Commons shopping center, joining national retailers such as, JOANN, Old Navy, and Raymour & Flanigan. The property is easily accessible via a signalized entrance on Woodland Road, as well as from Berkshire Boulevard. The property is just seconds away from US-222, a major thoroughfare that stretches from eastern Pennsylvania to northern Maryland, with a daily traffic volume of over 98,000 vehicles. The 5-mile area surrounding the Property exhibits excellent demographics with a population of nearly 206,000 and over 76,000 households, increasing from 2020. The population and number of households within the area are projected to continue to rise through 2029. The average household income (AHHI) within 1-mile of the property surpasses $105,000. Aldi is situated in a vibrant retail corridor, home to a variety of shopping centers, malls, and other retail destinations. The retailers in this area consistently rank among the top in their respective categories. The nearby Target ranks in the top 94th percentile of its chain in the United States and the Berkshire Mall ranks in the top 72nd percentile of Regional Malls within United States (Placer.ai). Aldi is the fastest-growing grocer in the country, known for offering shoppers the lowest prices among national grocery chains. Their budgetfriendly pricing is due to them carrying more than 90% Aldi-exclusive, private-label brands and buying in bulk, allowing them to negotiate better prices with suppliers. For seven years running, ALDI has been recognized by the dunnhumby Retailer Preference Index as #1 in Everyday Low Price.
Investment Highlights:
Tenant
Ownership: PRIVATE
Credit Rating: N/A
Headquarters: BATAVIA, IL
# of U.S. Locations: 2,427
ALDI, Inc. is a supermarket chain offering a variety of groceries from meats and fresh produce to wine, beer, and other home products. Their small format store layout provides for quick-and-easy shopping for their customers. They are one of America’s fastest growing retailers, serving millions of customers across the country each month. ALDI offers a product mix that is more than 90% private label, differentiating themselves from other grocery retailers. The company, founded in 1961 by the Albrecht Family, is built on these basic principles: simplicity matters, we sell the best food at low prices, and everything we do is purposefully designed to save people money. Earlier in 2024, ALDI announced an industry-leading goal to transition to natural refrigerants across all U.S. stores before the end of 2035. This furthers the company’s goal to become the most sustainable grocer in the country. For seven years running, ALDI has been recognized by the dunnhumby Retailer Preference Index as #1 in Everyday Low Price.
