Looking into my first mini strip mall?

[Timothy Swenton]

Hi guys and gals.

I lease space in a strip mall locally. I have had dreams of owning the property the last 3 + years Ive been there.

My lucky day has arrived its for sale..... I have done a couple multi family 4 unit deals. This is a 2 million dollar deal. A LOT larger than I am use to, but I will find a way if the deal is right.

I guess I am looking for some advice from anyone who invest or has invested in small strip malls.

It is 21k sqf, 13 units all leased also I think some storage units downstairs which I will know for sure soon. Triple Net leases. Paved parking area. High traffic road (route 1 maine) with highway entrance probably half a mile away.

What should I look for besides the obvious? A place like this, whats a good cap rate, or cash on cash return? I know this varies per investor or area, but there must be a sweet spot?

I know it has a "septic pump" which pumps to the main sewer, I assume that's costly to replace. I want to say it was built in the 70s. I will get more information from my broker soon.