Circle K is a national gas station and convenience store operator, also known for being an attractive net leased commercial real estate investment. With annual revenue in the billions and strong shareholder profitability, it’s a trusted brand that is scaling nationwide.

Circle K is headquartered in Tempe, Arizona and is a subsidiary of the Canadian multinational Alimentation Couche-Tard Inc. As of 2021, Alimentation Couche-Tard had a corporate annual revenue of around $30 billion USD. Their credit rating is BBB+ from Standard & Poor's (S&P) and Baa1 from Moody's. These ratings are considered to be investment grade, which means that the company is considered to be financially stable and has a low default risk.

One of the key benefits of investing in Circle K net leased properties is their long-term leases, with an average lease term length of 15-20 years. This provides stability and predictability for real estate investors, as the leases are corporate guaranteed. In addition, cap rates for these investments typically range from 5-7%, making them attractive opportunities for investors looking for stable, long-term returns.

Another benefit of investing in Circle K is the opportunity to acquire newly built stores. These properties are low risk for investors, as they are built to the company's latest standards and are often located in high-traffic areas. These properties are also great to consider for 1031 exchanges, as they provide investors with a stable, long-term investment option.

Circle K stores are typically financed at 60-70% loan to value, with amortizations mirroring the lease term length. This makes them a great option for experienced gas station franchisors looking for opportunities to partner with a trusted brand that is scaling nationwide.

In summary, Circle K is a trusted and well-established brand in the gas station and convenience store industry. Their net leased commercial real estate investments offer long-term leases, stable returns, and opportunities to acquire newly built stores. They are great properties to consider for 1031 exchanges, and are a good option for experienced gas station franchisors looking for a partner to scale their business nationwide.

Circle K Gas Station
Florida

Price: $825,000
Cap Rate: 7.69%
NOI: $63,458
Rentable SQFT: 4,140 SF
Year Built: 2009
Lot Size: 2.5 +/- Acres
Lease Type: Absolute NNN Ground Lease

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