11317 State Highway 1056 McCarr, KY 41544

Property Details for 11317 State Highway 1056

Year built

1988

Property size

44,448 SF

Property type

Lifestyle centers

Property subtype

Power centers

Description

Northside Plaza, a 44,448-square-foot retail property in McCarr, Kentucky (41544), presents a compelling value-add investment opportunity. This Class B shopping center, built in 1988, boasts a strong anchor tenant lineup, including a Quality Foods grocery store with a 22-year history at this location and a Dollar Tree/Family Dollar combo store occupying 30% of the gross leasable area (GLA). Dollar Tree, a Fortune 500 company with an S&P investment-grade credit rating, recently exercised an 8-year lease option, demonstrating long-term commitment. The grocery anchor generated $6,019,031 in sales in 2023, with a rent-to-sales ratio of 1.50%. The two anchors currently account for 63% of the space and 88% of the revenue. Currently, the property has 67% occupancy, with seven vacant units under 2,000 square feet and one vacant unit of approximately 5,000 square feet. The asking price is $980,000, representing a price per square foot of $22.05 and an 8.00% capitalization rate based on a net operating income (NOI) of $78,382. Limited small shop space competition in the area suggests significant potential for increased occupancy and rental income through leasing the vacant units at an average of $8 per square foot, potentially yielding a pro forma cap rate of 23%. The property's location in McCarr, a town situated along the Tug Fork River, benefits from a stable economy driven by nearby mining operations and tourism.

Location Insight

City

McCarr

County

Pike

State

Kentucky

Longitude

-82.1662

Latitude

37.6195