1230 Chicago AveSavanna, IL 61074

For Sale
$1,365,000

High-yield NNN lease, McDonald's & BP

Overview

Added:
Dec 11, 2024
Days on market:
92
This exceptional retail investment opportunity presents a 6,529 square foot property in Savanna, IL, featuring a McDonald's and BP gas station under a master lease with J.B. Sullivan, Inc., a subsidiary of Coborn's Inc. (a $1.2 billion revenue company). The property boasts a 1.56-acre lot with a drive-thru and eight fuel pumps. The absolute NNN lease has a remaining term of 13.5 years, with four 5-year options. The current annual net operating income (NOI) is $85,290, representing a 6.25% cap rate. The asking price is $1,365,000. The McDonald's sublease is significantly below market value at just over $34,000 annually. Built in 1997, this property benefits from its location as one of only two gas stations in Savanna, with McDonald's having operated there since August 1999. Rent bumps are flat. This is a strong, long-term investment with a well-established tenant base in a desirable location. The property's strategic positioning and the strength of its tenants make this a compelling opportunity for investors seeking stable, high-yield returns.

Highlights

  • Long-Term NNN Master Lease to J.B. Sullivan's Inc., dba Savanna Station.
  • Tenured, low-rent convenience store and gas station with partial sublease to McDonald's Corporation (NYSE: MCD).
  • McDonald's sublease significantly below market at $34,000+ annually.
  • 1.56-acre site with McDonald's drive-thru and eight BP fuel pumps.
  • J.B. Sullivan's acquired by Coborn's Inc. ($1.4B revenue) in June 2023.
  • McDonald's operation on site since August 1999.

Property Details for 1230 Chicago Ave

Property type
Other retail properties, Restaurants
Square Feet
6,529 SF
Year Built
1997
Lot Size (sq. ft)
67,954 SF

Location Insight

City
Savanna
County
Carroll
State
Illinois
Latitude
42.0899459
Longitude
-90.1338319
1230 Chicago Ave, Savanna, Illinois

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1230 Chicago Ave
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