Why would anybody pay 3.35% cap rate for this deal?
Beats me.
You can get a McD's for 4%+ cap rate. This is not even Dallas or Houston or Austin. It is San Antonio.
$4.5M for less than an acre of land. No improvements.
Yes a 20 year lease with bumps: 10% every five years. Maybe they can advertise it on the "average cap rate" (which is bogus because cap rate is a year one measure). But.... 10 year average is 3.885%. Maybe we can add in the 6 options.... wow now we are really talking... I mean dreaming....
