Discount Tire

Lowest
Cap Rate

5.50%

Lowest cap rate over past 24 months

Average
Cap Rate

6.00%

12 mo avg with 5+ yr lease term

Overview

Discount Tire stores typically range from 5,000 to 7,500 square feet and are situated on 1.0 to 1.5 acre parcels with high visibility and multiple access points. Leases are generally structured as 15- to 20-year absolute NNN, often with 10% rent increases every 5 years and multiple renewal options. Buildings include several service bays and are constructed to a standard prototype with ample customer parking and stacking room.

Average Property & Lease

Average Sale Price	$3,000,000 – $4,000,000
Average NOI	$180,000 – $260,000
Building SF	5,000
Lease Term	15 Years
Escalations	10% Every 5 Years
Stock Symbol	N/A

CREDIT RATING

S&P	N/A
Moody's	N/A

TENANT DESCRIPTION

Discount Tire was founded in 1960 by Bruce Halle in Ann Arbor, Michigan, with a single store and a mission to offer affordable tires with great service. It has since grown into the largest independent tire and wheel retailer in the U.S., operating under the names Discount Tire (primarily west of the Mississippi) and America’s Tire (in California). The company has maintained a private, debt-free operating model and continues to expand across the country with strong brand loyalty and operational consistency.

Founded	1960
Headquarters	Scottsdale, AZ, U.S.
Number of Locations	1,100+
Revenue	$5 B
Company Website	https://www.discounttire.com
Key Principal	Dean Muglia

Discount Tire

Lowest Cap Rate

5.50%

Average Cap Rate

6.00%

Overview

Average Property & Lease

CREDIT RATING

S&P

N/A

Moody's

N/A

TENANT DESCRIPTION

PROS

CONS

COMPANY QUICK STATS

Lowest
Cap Rate

Average
Cap Rate