The Boulder Group, a net leased investment brokerage firm, has completed the sale of a single tenant Shopko Hometown property located at 1140 East Fifth Street in Winner, SD for $2,450,000.
The Shopko Hometown property is located along US Route 183 at the southern entry point to the town of Winner. US Route 183 is the primary thoroughfare in the region. Shopko Hometown faces limited competition as the closest Walmart is located over 75 miles away in Pierre, South Dakota. Furthermore, Shopko Hometown is the only national pharmacy in the community. The Shopko benefits from a long standing operating history at this location and strong brand recognition within the community. Shopko has successfully operated at this location since 1991 and executed an early lease extension in 2007 to extend the lease until 2022. There are eight years remaining on the Shopko lease.
Randy Blankstein and Jimmy Goodman of The Boulder Group represented both the buyer and seller in the transaction. The seller was a Midwest based real estate partnership and the buyer was an East Coast based private investment firm. There are over eight years remaining on the absolute net lease that expires in November 2022. The lease features a rental escalation in the primary term and in each renewal option. Shopko is a $3 billion retailer that operates over 330 stores in 21 states.
