Investment Sale: Low Risk, Value Add 5344 Rittiman Rd Industriel/Logistique 1 433 m² À vendre San Antonio, TX 78218 1 564 030 € (1 091,49 €/m²) Taux de capitalisation 8 %

NRG Realty Group is pleased to have been retained exclusively to market 5344 Rittiman Rd in San Antonio, TX, along with its associated lease with tenant, Austin Hose (the "Property"). Austin Hose was founded in 1966 and specializes in a wide range of hoses, fittings, and accessories for various industries including hydraulic hoses & fittings, industrial hoses, custom hose assemblies, on-site hydraulic hose repair, oil & gas solutions, agricultural & OEM hoses and concrete & construction hoses. They have 13 locations spanning from California to Pennsylvania and are headquartered in a brand new 100,000 SF corporate facility in Amarillo, TX.
This acquisition includes the subject property totaling 15,424 square feet and situated on just under an acre of land. The Property is located on the northeast side of San Antonio with a less than 10-mile drive to the city's international airport which makes it very easy and convenient to travel in and out.
This investment presents a compelling opportunity to acquire an industrial property occupied by Austin Hose, a reliable and sustainable tenant given it's long track record of proven success since 1966, which ensures long-term stability with a well-established tenant. With the sales price and rental rate both under market, this would be a discounted investment allowing for a low-basis, low-risk acquisition with upside potential and a value-add opportunity. The lease structure offers a 3-year primary term which provides immediate rental income security with built-in renewals, reducing the risk of vacancy. The 3% annual escalations provides a hedge against inflation and ensures rental income growth over time. As a triple net (NNN) lease structure, the tenant covers property taxes, property insurance, and of course monthly rent, which minimizes landlord expenses and allows for passive income with predictable cash flow, making it highly attractive to investors. At an 8% cap rate, there's a strong return on investment from the start compared to lower cap rates in many real estate sectors such a retail and residential - This high cap rate suggests a favorable risk-reward balance in this market.
In conclusion, Austin Hose as a strong tenant, a stable lease structure, increasing rental income, and a low-maintenance NNN lease, this property offers an excellent balance of cash flow, security, and appreciation potential. It is well-positioned as a passive income-producing investment with limited risk while benefiting from industrial sector growth trends.