Kindercare (Lease Just Extended and 40+ Year Occupancy)
Abs. NNN - 7.41% Cap - Corporate Lease, Just Extended
Marketing description
Marcus & Millichap is proud to offer fee simple ownership of the KinderCare Learning Center property located along Brothers Drive in Lafayette, Indiana. KinderCare has continuously operated at this location for over 40 years and recently exercised an option with the scheduled 5% rent increase. The lease expires January 31st, 2028, and offers 5% rent increases at each of the remaining two 3-year options. A landlord benefits from the absolute NNN lease structure with zero responsibility offering a truly passive investment. KinderCare pays below market rent at just $7.51/SF.
Over 75,000 residents reside within 3 miles of the subject property, with population growth of 3% projected over the next five years, according to CoStar. Lafayette, Indiana is home to Purdue University with a student body of 50,000 and approximately 2,000 employees. Other major employers in the area include Subaru of Indiana Automotive, Caterpillar, Franciscan Health and IU Health Arnett Hospital.
Investment highlights
· Over 40 Years of Continued Occupancy – KinderCare Most Recently Exercised a 3 Year Option
· Completely Passive Absolute NNN Lease Structure – Zero Landlord Responsibilities
· Extremely Low Rent, Priced Below Replacement Cost - KinderCare Presently Pays Just $7.51/SF, CoStar Estimates Market Rents at $15/SF
· 5% Rental Increases at Each of Two Remaining 3-Year Options for Renewal
· Corporate Guarantee (Over 2,300 Locations Across 41 States) – Largest Provider of Early Education and Child Care in the United States
· Dense Submarket - 75,000+ People Within 3 Miles and 131,000+ Within 5 Miles
Listing Contacts
Valuation Calculator
Valuation Metrics
Map
Broker Selected Comps View More Comps
Property History
Tax History
Similar Properties
Additional Information
Is there information that looks off?
