WAWA - Louisville Kentucky

WAWA - Louisville Kentucky Property Images & Information

WAWA - Louisville Kentucky Property Description

The property is secured by a recently executed 20-year primary lease term with Wawa, Inc., a premier investment-grade tenant with a BBB rating from Fitch. Wawa is a legendary, privately held company with a history spanning over 120 years and currently operates more than 1,100 locations across 14 states. Ranked #22 on the Forbes list of America’s Largest Private Companies, Wawa’s financial strength is formidable, with fiscal year 2024 annual revenues exceeding $21 billion. The company’s operational excellence is reflected in its performance metrics, which significantly lead the industry; Wawa averages $7.1 million in merchandise sales per store—nearly triple the national average—and fuel sales of 3.1 billion gallons annually, averaging 69,042 gallons per week per store, which is more than double the industry standard. The investment offers an exceptional degree of security and stability, featuring a 20-year primary term complemented by six, five-year renewal options that allow for a potential total lease term of 50 years. The absolute triple-net (NNN) lease structure ensures a completely passive ownership experience with zero landlord responsibilities. The tenant is responsible for the payment of all property taxes, insurance, and utilities, as well as the repair and maintenance of the entire premises, including the building, roof, parking lot, and landscaping. This “hands-off” management profile makes the asset a perfect selection for out-of-state or 1031-exchange investors seeking a reliable, long-term income stream. The property consists of brand-new construction utilizing Wawa’s latest prototypical store layout, which not only maximizes operational efficiency and sales volume but also eliminates the risk of deferred maintenance or near-term capital expenditures. Strategically positioned on a high-profile, 2.60-acre pad, the property is situated within a proposed shopping center anchored by a brand-new Publix Supermarket. This location creates a high-traffic “daily needs” synergy, as the presence of a top-tier grocer ensures a consistent flow of consumers to the immediate site. The asset benefits from excellent visibility and prominent frontage along Taylorsville Road (Hwy 155), a major artery leading directly into downtown Louisville that carries about 18,400 vehicles per day. Furthermore, its immediate proximity to the Interstate 265 interchange provides the site with regional accessibility and exposure to roughly 76,000 vehicles per day. This combination of investment-grade credit, a long-term passive lease, and prime real estate within a high-growth retail corridor makes this Wawa location one of the most sought-after single-tenant products currently available in the marketplace.

Exclusive Investment Highlights

• Investment grade credit (BBB: Fitch Rating) - corporate executed ground lease
• Street frontage pad location – adjacent to proposed new Publix supermarket
• Absolute Triple Net (NNN) lease / no landlord responsibilities / tenant built & paid for their new building & common area
• Brand new 2026 construction – prototypical store layout / 16 fuel pumps with C-store
• Long term lease - 20 year primary term with 6-5 year lease options
• Large land parcel – 2.60 acres

Area Overview

Louisville, the state’s largest metropolitan area, is a vibrant city that sits on the Ohio River along the Indiana border with a rapidly growing population, diversification of employment, and attractive multifamily supply/demand balance. With a highly successful series of major distribution facilities now open and future capital investments in distribution parks planned, Louisville continues to be the focus of institutional investment. Leading this remarkable transformation is the development and expansion of UPS Worldport, the corporation’s main global air hub for its distribution business across the US. The series of substantial improvements has steadily boosted UPS employment in the Louisville metro. The additional logistics jobs created over the past five years have had a multiplier effect in several areas including retail and office support positions. Louisville is less than a day’s drive to 2/3 of the U.S. population. With 20 employers in the healthcare sector, Louisville is at the forefront of the nation’s healthcare trends. Nationally-recognized Fortune 500 companies, Humana and Kindred Healthcare, are headquartered in Louisville. These health-related establishments employ more than 124,000 people with an annual payroll over $4 billion and account for $50 billion in revenue. Median annual pay for health-related occupations is 30% higher than the average median annual pay for the county as a whole, which will positively impact renter demographics and income profiles. Every May, Louisville’s race course Churchill Downs hosts the Kentucky Derby, a renowned horse race whose long history is explored at the Kentucky Derby Museum. The Derby is preceded by a two-week-long Kentucky Derby Festival, which starts with the annual Thunder Over Louisville, the largest annual fireworks display in North America. Esquire magazine has called the Kentucky Derby “the biggest party in the south”. Baseball is celebrated at the Louisville Slugger Museum and Factory, where Major League bats are produced and a giant baseball “slugger” marks the entrance. Kentucky is the undisputed global capital for bourbon production, with some 95% of the world’s supply made in and around Louisville. The Kentucky Bourbon Trail was created to help visitors make a selfguided discovery of this barrel-aged, corn-based whiskey and enjoy some samples at distilleries along the way. Bourbonism helps generate 24 million visits a year to Louisville.

Financial Snapshot

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