Kingsbarn Realty Capital announced the acquisition of the Fleet Farm Retail Center located at 3035 West Fleet Street in Sioux Falls, South Dakota, (the “Property”). Kingsbarn intends to offer interests in the Property in a Delaware Statutory Trust structure, thereby making it eligible for purchase fractionally as a 1031 exchange replacement property.
Newly constructed in 2019, this single-tenant Property is comprised of approximately 192,000 square feet. In addition to the main retail store, the property also includes a gas station, a car wash, an auto service center, and a garden center, which are all under the Fleet Farm banner. This Fleet Farm has over 17 years remaining on its lease, which includes annual rental escalations. Frequently listed as a top place to live, Sioux Falls’ population and GDP both have grown rapidly in the last decade.
“We have recently acquired five other Fleet Farm stores and we now own approximately 1,500,000 sq. ft. of Fleet Farms,” stated Kingsbarn CEO Jeff Pori. “Structured as Delaware Statutory Trusts, these properties have proven to be worthwhile investments for our clients.”
Founded in 1955, Fleet Farm has been serving high-quality merchandise as well as e-commerce-resistant products, including farm, pet, home improvement and automotive. The retail chain has 47 locations and over 6,600 employees in the Upper Midwest. Fleet Farm was purchased for $1.2B in 2016 by private equity giant Kohlberg Kravis Roberts & Co. L.P.
