DriveTime NNN Lease Investment Opportunity | 6.4% Cap Rate
4295 Jonesboro Rd
Union City, GA 30291
Highlights
- DriveTime, located in Union City (Atlanta MSA), is a strong NNN tenant on a 15-year lease with 7+ years remaining and rare annual rent increases of 1.5%
- Located just off Interstate 85, this large ±4.72-acre parcel is situated in a busy auto corridor featuring 10 major auto dealerships with traffic counts of nearly 27K vehicles per day
- Placer.ai ranks this location in the Top 30% of all DriveTime locations (approximately 144) nationwide with consistently favorable store volume reported by local store management
- Their unique business niche offers quality used vehicles, one stop financing and extended warranties, all under the DriveTime umbrella
- Interior remodeling and expansion recently completed with the addition of approximately 500 SF of showroom space
- Located in South Fulton County, GA near Atlanta Hartsfield Jackson Airport, with a five-mile population of over 119K and average household income of $87,305
- Major area employers include Delta Airlines, Southern Regional Medical Center, Fulton County Government, Kraft Foods, DHL, Atlanta Metro Studios, Ferguson Supply, City of Union City, and more
- Anticipated robust growth of the used car market with 7.3% compounded growth between 2025 and 2033
Description
DriveTime, located in Union City, GA just south of Hartsfield-Jackson Atlanta International Airport, is an exceptional single tenant NNN property to add to your portfolio. Located less than ½ mile from Interstate 85 (over 153K VPD), DriveTime sits on nearly 5 acres on a busy retail auto sales corridor on Jonesboro Road, (Hwy 138) with traffic counts of over 26K vehicles per day. This 15-year, true NNN, corporate guaranteed lease, with no landlord responsibilities, has a remaining initial lease term through January 31, 2032. It also features annual rent increases of 1.5% and three renewal options.
DriveTime just completed an expansion of the ±3,060 SF office/showroom and a total interior renovation. Their business model as a dealership is to offer one stop sales, financing and extended warranties to customers of late model used cars. They are one of the largest national used car dealers with approximately 144 locations in 30 states. Placer.ai ranks this DriveTime 43rd nationwide in volume and customer visits and in the top 30% of DriveTime locations. This busy S. Fulton County auto sales corridor has over 10 major brands within a half mile including Ford, Audi, Volkswagen, Kia, BMW, Nissan, Chevrolet, Honda, Toyota, Lexus, Chrysler Dodge Jeep Ram Fiat, and Land Rover dealerships along with Caliber Collision and Classic Collision.
Union City is one of the fastest growing metro Atlanta areas with a 5 mile population of 119,758 and an average household income of $87,305. They have experienced growth of over 22% between 2020 and 2022. In anticipation of continued population growth and industry projections of used vehicle sales growth of 7.3% annually thru 2033, DriveTime appears to be at the right place at the right time.
DriveTime is privately held and headquartered in Tempe, AZ. They also own subsidiary, Bridgecrest Acceptance Corporation, their financing division and SilverRock Automotive, their auto warranty division whose major clients include both DriveTime and Carvana. They employ over 3100 and have an estimated annual revenue of $1.5B. This DriveTime location is corporate owned and operated.
This property is located in Union City, Georgia.
