Single Tenant Global Partners, LP (NYSE: GLP) Gas Station & Convenience Store
Doylestown, PA (Philadelphia MSA)
The Opportunity
Summary
- Price: $4,121,000
- Cap Rate: 6.00%
- NOI: $247,254
- Building Size: 3,032 SF
- Parcel Size: 1.26 Acres
- Lease Type: Fee Simple: NNN
- Remaining Lease Term: 6 Years
- Remaining Options: Three (3), Five (5) Year
- Rental Increases: 1.50% Annually
Forged Real Estate is pleased to exclusively offer the opportunity to acquire the fee simple interest in a single tenant property leased to Global Gas, (the “Property”) in Doylestown, Pennsylvania, a borough in suburban Philadelphia. Global Gas operates on a triple-net (NNN) lease with 6 years of firm term remaining, allowing for a hands-off passive form of ownership. The lease features annual rental increases of one and one-half percent (1.50%), including in the option periods. Global Gas sits at the signalized corner intersection of N Easton Rd (8,900 VPD) and Swamp Rd/PA-313 (22,800 VPD) which allows plenty of visibility to local traffic. The property exhibits multiple forms of ingress and egress making it easy for consumers to access the site. Additionally, Dunkin’ operates out of the location’s c-store.
Global Gas sits in Doylestown, the county seat of Bucks County, the 3rd wealthiest county in Pennsylvania. The average household income in the 5-mile area surrounding the property exceeds $200,000. Doylestown is located just 25 miles north of Philadelphia and part of the Philadelphia MSA that is the 8th largest in the country and home to 6.24 million people.
Alliance Energy LLC and Global Montello Group Corp. are subsidiaries of Global Partners LP (NYSE: GLP), one of the Northeast’s largest independent owners, suppliers, and operators of gasoline stations and convenience stores. As of the end of Q2 2024, Global Partners LP reported a gross profit of $287.9 million and a net income of $46.1 million. Total sales grew over the previous year by 15.79% to $4.4 billion in Q2 2024 with total volume growing 23.08% to 1.6 billion gallons in the same period.
Investment Highlights:
Tenant
Alliance Energy, LLC and Global Montello Group Corp. (Global Partners LP) Tenant Overview:
Alliance Energy LLC and Global Montello Group Corp. are subsidiaries of Global Partners LP (NYSE: GLP), one of the Northeast’s largest independent owners, suppliers, and operators of gasoline stations and convenience stores. Global Partners LP was founded over 75 years ago and began delivering heating oil – door to door – in the neighborhoods around Greater Boston. Focused primarily in the Northeast, the company is a third-generation, family-founded business with operations throughout the U.S.
Today, Global owns, controls, or has access to one of the largest terminal networks in New England and New York. The company is also one of the largest branded and unbranded wholesalers in the Northeast, supplying fuel to approximately 1,700 retail service stations, and a branded wholesaler for 14 fuel brands. They source the lowest cost energy in bulk and transport the products through its vertically integrated adaptive distribution network to all of their customers whether wholesale, commercial or retail. In 2024, Fortune named Global Partners to its 2024 list of the World’s Most Admired Companies.
As of the end of Q2 2024, Global Partners LP reported a gross profit of $287.9 million compared to $242.7 million in Q2 2023. The company also reported a net income of $46.1 million compared to $41.4 million in the same period of 2023. Total sales grew over the previous year by 15.79% to $4.4 billion in Q2 2024 with total volume growing 23.08% to 1.6 billion gallons in the same period.
