Walgreens Corporate Lease Investment
For Sale
Contact for pricing
751 Richmond Rd, Richmond Heights, OH 44143
Corporate-backed Walgreens lease with mixed-use development upside.
Property Size13,216 SF
Price / SF$375.91
Days on Market761
Property Features for 751 Richmond Rd
General Information
Standard status
Active
Size
13,216 SF
Property subtype
Retail
Occupancy
100%
Lease Type
NNN
Investment Type
Institutional
Net Operating Income
$385,000
Building Details
Buildings
1
Tenancy
Single
Listing Agency:
Goodman Real Estate Services Group LLC
(216) 381-8200
Listed By:
Kyle Hartung · License #OH SAL.2003016343
Source:
Crexi
Added: Aug 1, 2024
Changed: Aug 14
Last Checked: Aug 29 at 4:49PM
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 Goodman Real Estate Services Group LLC
Investment Insights
Based on property information with market context.
This offering presents the fee simple interest in a corporate lease with Walgreen Co. located in Richmond Heights, Ohio. The property benefits from a recently extended lease to September 30, 2033, providing 10 years of guaranteed base term. The lease is triple net and corporately guaranteed, with over 9 years of base term remaining, plus options. Walgreens is situated at a signalized primary corner and has operated at this location for 20 years. The property is located directly in front of the Belle Oaks mixed-use redevelopment, a 60+ acre project set to feature a Meijer Grocery Store in 2025, along with additional phases of retail, multi-family, office, and medical spaces. The property features a modern drive-thru format and benefits from high traffic and visibility.
Key Highlights
- Recently‑extended corporate lease with Walgreen Co. until September 30, 2033 (10 years guaranteed).
- Located at the signalized primary corner directly in front of the new Belle Oaks mixed‑use development.
- Belle Oaks development will feature Meijer Grocery Store in 2025, plus retail, multi‑family, office and medical spaces.**
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
$144,576
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
2.91%
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%
$2,891,520
$2.9M
Cap Rate 7%
$2,065,371
$2.1M
Cap Rate 9%
$1,606,400
$1.6M
Market Conditions
NOI Build-Up for 13,216 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
$206.2K $15.60/SF
− Vacancy
−$13.4K −$1.01/SF
EGI
$192.8K $14.59/SF
− OpEx
−$48.2K −$3.65/SF
NOI
$144.6K $10.94/SF
Area
Cuyahoga County, OH
Vacancy
6.50%
Lease Rate
$15.60 /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%
$2,891,520
Cap Rate 7%
$2,065,371
Cap Rate 9%
$1,606,400
Alternative Uses
Best Use
Specialty Retail
$2.07M
$1.81M – $2.41M
NOI $144,576 @ 7.0% cap · market cap 2.91%
Second Best
Retail
$1.80M
$1.58M – $2.10M
NOI $126,279 @ 7.0% cap · market cap 2.54%
Theoretical Best
Warehouse
$10.59M
$9.27M – $12.35M
NOI $741,246 @ 7.0% cap · market cap 14.92%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
114
Businesses Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Demographics for 44143, OH
25,339
Population
11,879
Households
2.1
Avg Household Size
50
Median Age
43%
College-Educated
94%
High-School Grad
14.1 sq mi
ZIP Area
1,797
Density / Sq Mi
$75,853
Median Household Income
$52,497
Median Earnings
$952
Median Rent
$252,200
Median Home Value
Market
Vacancy Rate% for Retail in Midwest region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Drug store - Corporate-backed Walgreens lease with mixed-use development upside.
Where is this drug store located?
The property is located at 751 Richmond Rd Richmond Heights, OH.
What is the asking price?
The asking price for this property is $4,968,000.
What are key features of this property?
This property features: Recently‑extended corporate lease with Walgreen Co. until September 30, 2033 (10 years guaranteed).; Located at the signalized primary corner directly in front of the new Belle Oaks mixed‑use development.; Belle Oaks development will feature Meijer Grocery Store in 2025, plus retail, multi‑family, office and medical spaces.**
