Safeway

Lowest
Cap Rate

4.75%

Lowest cap rate over past 24 months

Average
Cap Rate

5.50%

12 mo avg with 5+ yr lease term

Overview

Safeway stores typically range from 45,000 to 65,000 square feet, located on 4.0 to 7.0-acre parcels, and are frequently developed as anchors in shopping centers or on standalone pads with large parking fields. Most leases are corporate-guaranteed by Albertsons, structured as 15- to 20-year absolute NNN, with 10% rent escalations every 5 years and renewal options. Sites are often in mature, high-income neighborhoods with daily needs-based traffic.

Average Property & Lease

Average Sale Price	$10,000,000 – $20,000,000
Average NOI	$600,000 – $1,200,000
Building SF	45,000
Lease Term	15 Years
Escalations	10% Every 5 Years
Stock Symbol	NYSE:ACI

CREDIT RATING

S&P	BB
Moody's	Ba2

TENANT DESCRIPTION

Safeway was founded in 1915 in American Falls, Idaho, and grew to become one of the largest supermarket chains in the United States. Known for its neighborhood-oriented stores, Safeway offers groceries, pharmacy services, fuel stations, and prepared foods under a range of private-label brands. In 2015, Safeway merged with Albertsons Companies, Inc., creating one of the largest food and drug retailers in the U.S. The brand continues to operate under the Safeway name in over a dozen states.

Founded	1915
Headquarters	Pleasanton, CA, U.S.
Number of Locations	900
Revenue	$79.2 B
Company Website	https://www.safeway.com
Key Principal	Vivek Sankaran

Safeway

Lowest Cap Rate

4.75%

Average Cap Rate

5.50%

Overview

Average Property & Lease

CREDIT RATING

S&P

BB

Moody's

Ba2

TENANT DESCRIPTION

PROS

CONS

COMPANY QUICK STATS

Lowest
Cap Rate

Average
Cap Rate