211 N 8th St
Klamath Falls, OR 97601

CORE Commercial is pleased to present this freestanding single tenant Holiday Market in Klamath Falls, OR. This investment is being offered For Sale at a price of $4,174,000 / 5.75% Cap Rate with a proposed fifteen (15) year sale leaseback commencing at the close of escrow. The fifteen (15) year lease back will include a 10% rental increase in year eleven (11) of the primary term of the lease and also at the beginning of each of the 3, 5 year option periods. The in-place rent equates to a very defendable rental rate of $0.87 PSF, NNN. This is a NNN investment with the landlord being responsible for repairs, maintenance and replacement to the roof and structure. The subject property is located along North Eighth Street in downtown Klamath Falls. Holiday Market acquired the subject property in late 2017 and has since invested approximately $2,000,000 in renovations to the building which had previously served as a Safeway with over fifty (50) years of operating history. Safeway closed this Klamath Falls location after agreeing to sell 168 stores back in 2015 in a successful effort to obtain regulatory approval for the Albertsons / Safeway Merger. Holiday market opened this location in September 2018 and created an immediate boost to the community by hiring approximately fifty (50) employees and also filling a void for a grocery store within the downtown Klamath Falls trade area. The store offers fresh meat, seafood, produce as well as a deli and pharmacy operated by Sky Lakes Medical Center. The improvements consist of approximately 23,000 square feet situated on a well – parked 1.44 acre parcel. North State Grocery, Inc operates fifteen (15) Holiday Markets throughout Northern California and Southern Oregon as well as seven (7) Sav-Mor Foods located throughout Northern California. Holiday Market opened its first location in 1962 in Cottonwood, CA where the company still has its headquarters. The company is entirely employee-owned, meaning that the employees have the greatest stake in the success of their business and Holiday Market’s vision is “to give customers the friendliest service while providing the freshest meats and produce available”.