Supermarket EDEKA in Hannover for Sale, Lease Agreement Ends 2038
Property type: supermarket
Purchase of established rental business
Location: Hannover, the state of Lower Saxony, Western Germany
• Hannover has a population of more than 500,000
• the property is favorably located near the exit of the busy motorway that connects Berlin with the Ruhr Area
Construction year: 1990’s
Latest Renovation: 2022
Technical condition:
• in 2023-2024 the tenant will extensively renovate and expand the property at its own expense
Building size: ca. 7,800 m2
Plot area: ca. 15,000 m2
Car parking facilities: 120+ spaces
Anchor tenant: EDEKA (supermarket chain)
Occupancy: 100%
Triple Net Lease (NNN lease):
• tenant is responsible for all operating expenses including land tax, building insurance, minor repairs, potential renovation of the entire building, etc.
Lease Agreement: until 2038 (+ renewal options 3x5 years)
Possibility of renewal: YES
Rent Review: YES
Purchase price: 12,271,000 EUR
(+ closing costs)
Bank financing: 50%
Amount of investor’s own capital required: ca. 6,700,000 EUR
Rental Income: ca. 689,400 EUR per annum
(+ indexation linked to inflation)
Yield: 5.6%
