Wapato International Market

THIS OFFERING presents the opportunity to acquire a stabilized retail investment featuring a thriving owner-operated grocery store. The seller plans to sale-leaseback at $9.75/SF/Yr. NNN with 2.5% annual rent escalations. The current lease term extends for ten years and includes four consecutive five-year renewal options, providing investors with durable, long-term income stability. The tenant is a well-established regional operator with an investment-grade credit profile and a proven operating history at this location, as well as ownership and operation of six additional grocery stores throughout Washington State. The investment is offered at an attractive 8% cap rate and includes an additional adjoining tax parcel combining for approximately 116,740 square feet. The primary parcel consists of approximately 82,328 square feet and is zoned B-1 (Neighborhood Business District), while the adjacent parcel is just under one acre at approximately 34,412 square feet and is zoned M-1 (Light Industrial), providing flexibility for future use, expansion, or ancillary development upon lease expiration. Strategically positioned at one of the Lower Yakima Valley’s most prominent and highly trafficked intersections — West 1st Street and U.S. Highway 97 — the property benefits from exceptional visibility, strong daily vehicle counts, and established retail synergy. Surrounding national and regional tenants include O’Reilly Auto Parts, McDonald’s, DaVita Dialysis, and the nearby Wolf Den retail hub, reinforcing the location’s role as a dominant neighborhood and commuter-oriented retail destination. With its combination of long-term contractual income, strong tenant credit, high-exposure location, and additional land component offering future upside, this asset represents a compelling opportunity for investors seeking secure cash flow with long-term growth potential and rental escalations. We are assuming a 5% vacancy and credit loss factor and 2% capital replacement reserves to arrive at the marketed NOI which will be reflected in the lease.