Ross / BBB+ Credit / 7% Cap / $145 PSF

Texas Broker of Record: Brian Kaplan/ Tx License No: 591407.
Faris Lee Investments proudly presents the fee simple interest (land & building) in an exceptional 2-tenant NNN leased retail investment opportunity located at 2903-2905 50th Street, Lubbock, TX 79413. The subject property offers a compelling secure and stable investment opportunity with long-term historical leases with option periods to extend, rental increases and a strategic location within a high-traffic retail corridor. With its strong tenant profile, favorable demographics, and promising high- growth trade area, the subject property presents investors with the potential for attractive returns and long-term appreciation.
The subject property features long-term historical occupancy NNN lease with Ross Dress for Less, a Fortune 500 company boasting an investment-grade credit rating (S&P rated BBB+). With a market cap exceeding $48 billion as of February 2024, Ross Dress for Less has established itself as a retail powerhouse, operating over 1,760 stores in 43 states since its inception in 1957. Complementing this anchor tenant is Allington Dental, a multi-unit West Texas dental group specializing in children’s dentistry. Supported by Benevis, a renowned provider of dental practice management services with over 120 offices across the country, Allington Dental further enhances the property’s tenant mix and appeal.
Ross Dress for Less has been a cornerstone of this location since 2006, demonstrating its unwavering commitment to this proven location by recently exercising its second five-year renewal option, with three additional five-year options still available. The 18 years of historical occupancy strongly suggest that Ross will continue to exercise its remaining options in the future, enhancing the sense of stability and long-term commitment for potential investors. Similarly, Allington Dental, a valued tenant since 2010, recently exercised its second seven-year lease renewal in 2023, underscoring the property’s attractiveness and reliability as an investment. Both NNN leases incorporate rental increases, providing investors with a hedge against inflation and promising returns over time. Additionally, this favorable opportunity provides for a below replacement cost investment at only $145 per square foot.
Situated within a bustling retail hub, the property benefits from favorable trade area demographics, boasting a population of over 213,000 within a five-mile radius. Positioned within the Caprock Shopping Center, a 255,000-square-foot regional community shopping center co-anchored by DD’s Discount Store (Coming Soon), Dollar Tree, and Club 4 Fitness (Coming Soon), the property enjoys strong vehicular traffic of over 27,000 vehicles per day (VPD) and strategic positioning along the highly trafficked 50th Street. Its adjacency to Home Depot and proximity to Texas Tech University, with over 40,000 college students, ensures consistent foot traffic and customer engagement.
Lubbock’s retail market has been experiencing robust growth, with December 2023 retail sales witnessing an impressive increase of 9.21%, indicative of the city’s thriving economic landscape. Coupled with a healthy labor market boasting steady employment gains and a low unemployment rate of 2.80%, Lubbock demonstrates economic resilience. Moreover, ongoing commercial construction in the city reflects strong market demand, further enhancing the property’s allure as an investment opportunity.