Net Leased Walgreens
For Sale
Contact for pricing
Pending
10405 N La Canada Dr, Oro Valley, AZ 85737
Net leased Walgreens in Oro Valley, Arizona with rental growth.
Property Size14,766 SF
Days on Market179
Property Features for 10405 N La Canada Dr
General Information
Standard status
Pending
Size
14,766 SF
Class
C
Property subtype
Retail
Occupancy
100%
Lease Type
Absolute Net
Net Operating Income
$279,077
Building Details
Year Built
1997
Buildings
1
Stories
1
Units
1
Tenancy
Single
Listing Agency:
Bang Realty
(888) 737-2264
Listed By:
Brian Brockman · License #BRK.200900214
Source:
Crexi
Added: Feb 14
Changed: Aug 8
Last Checked: Aug 11 at 2:52PM
Displayed information is deemed reliable but is not guaranteed and should be independently verified. All listing content including descriptions, pricing, images are the copyrighted material of Bang Realty
Investment Insights
Based on property information with market context.
Located in Oro Valley, Arizona, 10405 N. La Cañada Drive is a net lease investment opportunity. The property is secured by a long-term absolute NNN lease with Walgreens, offering passive income without landlord responsibilities and built-in rental growth. The property is positioned along North La Cañada Drive, a primary retail corridor serving the northwest Tucson region. The site benefits from visibility, access, and proximity to a major signalized intersection, surrounded by national retailers and daily-needs services. Oro Valley’s reputation for safety, high household incomes, and limited commercial infill supports long-term retail demand and durable real estate fundamentals. The greater Tucson market provides regional connectivity and access to employment centers, healthcare institutions, and lifestyle amenities, while Oro Valley offers a residential base anchored by master-planned communities, country clubs, and luxury resorts. The property is strategically positioned along a dominant retail corridor near a major signalized intersection. It benefits from high-income demographics, strong national tenancy in the surrounding area, and proximity to country clubs and luxury resorts. The property has a drive-thru-equipped format and long-term renewal options. The offering is suited for investors seeking durable cash flow, capital preservation, and a defensive 1031 exchange opportunity. The property is 14,766 square feet. The site benefits from strong visibility, access, and proximity to a major signalized intersection, surrounded by national retailers and daily-needs services. The property includes rare 5% rent increases every five years.
Key Highlights
- Long‑term absolute NNN lease with Walgreens provides passive income.
- Located in Oro Valley, a safe and affluent retirement community.
- Strategic location along a dominant retail corridor.
Financial Insights
Estimated NOI and Cap Rate
NOI = area × lease_rate × (100 − vacancy) / 100 × (1 − expense_ratio). Net Operating Income — what the owner takes home each year before mortgage payments and income tax. Effective rent (asking rent minus vacancy losses) minus operating costs (taxes, insurance, maintenance, management).
NOI / Yr
$217,272
Cap rate = NOI / list price × 100. Capitalization rate — annual return on a fully cash purchase, before financing. NOI divided by price. Higher means more income per dollar invested, but usually also more risk or older condition. 5–8% is typical for stabilized commercial property; double digits often signal distressed deals.
Cap Rate
4.67%
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$4,345,440
$4.3M
Cap Rate 7%
$3,103,886
$3.1M
Cap Rate 9%
$2,414,133
$2.4M
Market Conditions
NOI Build-Up for 14,766 SF
Vacancy — income lost from leasable area expected to sit empty during the year, subtracted from gross rent.
EGI (Effective Gross Income) — gross rent minus vacancy losses, the realistic income before paying operating costs.
OpEx (Operating Expenses) — recurring costs to operate the property (property tax, insurance, utilities, maintenance, management); excludes financing and capital improvements.
NOI (Net Operating Income) — income a property generates after operating costs but before financing and taxes.
Gross rent
$295.9K $20.04/SF
− Vacancy
−$6.2K −$0.42/SF
EGI
$289.7K $19.62/SF
− OpEx
−$72.4K −$4.90/SF
NOI
$217.3K $14.71/SF
Area
Pima County, AZ
Vacancy
2.10%
Lease Rate
$20.04 /SF/Yr
Expense Ratio
25.00%
Simulate Cap Rate and NOI
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$4,345,440
Cap Rate 7%
$3,103,886
Cap Rate 9%
$2,414,133
Alternative Uses
Best Use
Specialty Retail
$3.10M
$2.72M – $3.62M
NOI $217,272 @ 7.0% cap · market cap 4.67%
Second Best
Retail
$2.78M
$2.43M – $3.25M
NOI $194,709 @ 7.0% cap · market cap 4.19%
Theoretical Best
Office A
$4.54M
$3.97M – $5.30M
NOI $317,882 @ 7.0% cap · market cap 6.83%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
246
Businesses Nearby
74k
Monthly Visits Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Groceries 56%
Shops & Services 35%
Dining 8%
Beauty & Spa 2%
Fry's
Groceries
41,092 visits/mo
0.2 miles
Circle K
Shops & Services
18,989 visits/mo
0.1 miles
Chase Bank
Shops & Services
3,688 visits/mo
0.2 miles
Pet Supplies Plus
Shops & Services
3,092 visits/mo
0.3 miles
Papa Murphy's
Dining
2,398 visits/mo
0.2 miles
Demographics for 85737, AZ
22,212
Population
10,574
Households
2.1
Avg Household Size
53
Median Age
54%
College-Educated
96%
High-School Grad
23.7 sq mi
ZIP Area
937
Density / Sq Mi
$106,812
Median Household Income
$56,250
Median Earnings
$1,710
Median Rent
$433,600
Median Home Value
Market
Vacancy Rate% for Retail in West region
Questions? Ask Rey
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Similar Off Market Nearby
- Judith A. Clark, RPh — 10405 N La Cañada Dr, Oro Valley, AZ 85737
- COVID-19 Drive-Thru Testing at Walgreens — 10405 N La Cañada Dr, Oro Valley, AZ 85737
- Walgreens Pharmacy — 10405 N La Cañada Dr, Oro Valley, AZ 85737
- Rosalinda P. Gomez, PharmD — 10405 N La Cañada Dr, Oro Valley, AZ 85737
- Charles D. Broderick, RPH — 10405 N La Cañada Dr, Oro Valley, AZ 85737
Frequently Asked Questions
What type of property is this?
Drug store - Net leased Walgreens in Oro Valley, Arizona with rental growth.
Where is this drug store located?
The property is located at 10405 N La Canada Dr Oro Valley, AZ.
What is the asking price?
The asking price for this property is $4,650,888.
What are key features of this property?
This property features: Long‑term absolute NNN lease with Walgreens provides passive income.; Located in Oro Valley, a safe and affluent retirement community.; Strategic location along a dominant retail corridor.
