Service Street Auto Repair #1

7601 Maynardville Pike, Knoxville, TN 37938

$1,435,000

Cap Rate 7.11%

$1,511,000

Cap Rate 6.75%

DOM: 231 Updated: 07.22.24 Posted: 05.31.23 Status: Sold 01.17.24

Summary

Price $1,435,000 $1,511,000	Built/Renov 2008/2022	Tenant Service Street Auto Repair #1
Cap Rate 7.11% 6.75%	Lease Type Abs NNN	Guarantor Corporate
Size/SF 6,100	Lease Start 04-01-2022	#Units 20
Price/SF $235.25 $247.70	Expiration 03-31-2042	Tenant Type Automotive
NOI $102,000	R. Term 16.11	Ownership Fee Simple
Rent/SF $16.72	Increases 10.0%/5/yrs	Pop 5Mi 70,310
Lot/AC 0.70	Options 4/5yrs/10%	AHHI 5Mi $83,035

Lease Highlights

Service Street Auto Repair underwent a full renovation in 2022
Tenant recently signed a new 20-year lease with 4 (5-year) options to extend
The lease features 10% rental increases every 5 years in the primary term and option periods
Absolute NNN lease | Zero landlord responsibilities
Corporate guaranteed lease

Location Description

The subject property is ideally located on State Highway 33 (Maynardville Highway) with excellent visibility and access to 20,200 VPD. State Highway 33 is near the intersection of US Hwy 441 and State Highway 131. The demographics in the immediate trade area include an average household income over $90,000 and an estimated population of approximately 70,000 within a 3-mile radius. Service...

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Key Features

Recent renovation
Hard corner intersection
Major thoroughfare
Strategically located
Highway location
Top 100 MSA
Income tax free state
Long 15+ yr lease
Absolute NNN
Corporate Guarantee

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Links

Service Street Auto Repair Wikipedia Knoxville, Tennessee Zip Code 37938 Broker Site Page

Maps

Local Information

1 Mile
3 Miles
5 Miles

Tenant

Tenant: Service Street Auto Repair
Guarantor:Corporate
Company:Drive Automotive Services
# Units:20
Stock:Private

About Tenant

Service Street Auto Repair is an auto repair shop brand that offers a wide range of services. Their team of experienced and certified mechanics are capable of handling any type of repair or...

Service Street Auto Repair is an auto repair shop brand that offers a wide range of services. Their team of experienced and certified mechanics are capable of handling any type of repair or maintenance work on all makes and models of vehicles, from oil changes and state inspections to complete engine and transmission overhauls. They use state-of-the-art equipment and high-quality parts to ensure that every repair job is done efficiently and effectively. The shop offers a comfortable waiting area for customers with complimentary Wi-Fi and refreshments. As of May 2023, the brand has 20 locations in 4 states (Colorado, Georgia, Tennessee and Texas). The brand is a subsidiary of Drive Automotive Services.

Drive Automotive Services is a leading full-service operator of automotive repair shops that operates multiple brands in high-growth metro markets across the United States. Drive Automotive Services service over 120,000 vehicles annually under the following brands: Service Street, Kerry’s Car Care, Pride Auto Care & Elite Auto Repair. The private company has a team of over 120 service technicians and provides a complete suite of automotive maintenance and repair services to all major vehicle brands. Drive Automotive Services was acquired by Silver Oak Services Partners in August 2021, in an effort to expand the company’s footprint. As of early 2023, there are over 27 locations under the Drive Automotive Services banners. The company is headquartered in Atlanta, GA.

Silver Oak Services Partners is a lower middle market private equity firm. The firm is focused on making investments in the business, healthcare, and consumer services sectors in the United States and Canada. Founded in 2005, they seek to partner with exceptional management teams to accelerate growth and create lasting value at each of our portfolio companies. Since inception, they have raised $1.1 billion of capital across four funds and have executed more than 25 platform investments and 100 add-on acquisitions. The company is headquartered in Evanston, Illinois.

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Demographics

	1 Miles	3 Miles	5 Miles
2028 Total Population :	4,683	30,088	70,506
2023 Total Population :	4,629	29,345	69,213
2023 Employed Civilian Pop :	2,409	14,004	33,682
2023 Total Businesses :	146	521	1,441
2023 Average Household Income :	$ 102,239	$ 96,066	$ 93,387
2023 Total Consumer Spending :	$ 159 M	$ 942 M	$ 2216 M
2023 Median Age :	44	42	42
2023 Total Households :	1,816	11,386	27,490
2023 Pop Age 25+: Bachelor's Degree :	806	3,948	9,818
2023 Average Home Value :	$ 300,941	$ 307,588	$ 308,416

*ESRI data is presented for informational purposes only

Traffic

Collection Street	Cross Street	Year	Traffic Vol	Distance
Maynardville Pike	Temple Acres Dr	2022	16,887	0.19 mi
SR 33	Temple Acres Dr	2021	17,075	0.19 mi
Maynardville Pike	Temple Acres Dr	2018	17,116	0.23 mi
E Emory Rd	Willow Fork Ln	2005	12,267	0.51 mi
East Emory Road	Hallbrook Rd	2022	12,625	0.58 mi
Brown Gap Rd	E Emory Rd	2005	2,040	0.68 mi
Andersonville Pike	E Emory Rd	2005	9,090	0.88 mi
Maynardville Pike	Old Maynardville Pike	2005	17,360	0.91 mi
McCloud Rd	Larue Ln	2005	3,770	0.93 mi
Bell Road	Brown Gap Rd	2022	1,184	0.98 mi

Listing Broker

Jeff Conover

Faris Lee Investments

Contact

33 Listings
5939 Views
19 Sold

Hunter Steffien

Faris Lee Investments

Contact

21 Listings
5298 Views
12 Sold

Jeff Conover

Jeff Conover was appointed Managing Principal at Faris Lee Investments in 2021 and has 34 years of transactional brokerage experience within the commercial real estate industry across the U.S. As Managing Principal of Faris Lee Investments, a national leading retail advisory and investment sales firm, Mr. Conover is a top producer year-over-year with proven performance specializing in the disposition of single tenant NNN leased investments, multi-tenant shopping centers, national portfolios &am

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Hunter Steffien

As a Director at Faris Lee Investments, Hunter Steffien specializes in the acquisition and disposition of net leased investments with a specific focus Single Tenant Assets. Mr. Steffien hit the ground running with Faris Lee Investments by quickly becoming a top performer in the company and earning an astounding reputation amongst his clients who consist of private-office owners, developers, REITS, franchisees & corporate restaurant chains. Mr. Steffien’s early and continued success is based

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Scott DeYoung

Faris Lee Investments

Contact

34 Listings
5969 Views
20 Sold

Scott DeYoung

As a Senior Managing Director at Faris Lee Investments, Mr. DeYoung was the co-top producer at the Company in 2021. Mr. DeYoung has more than a decade of brokerage experience and currently holds real estate broker licenses in California, Florida, Montana, and Hawaii. Mr. DeYoung is a fifth-generation broker and developer in Southern California, as well as an active real estate investor. In 2021, Mr. DeYoung acquired and disposed of over $26M in commercial real estate as a General Partner. His e

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