Middlebury Commons is a +/- 38,690 square foot retail center that is 100% master leased and occupied by Shaw’s Supermarkets. Middlebury Commons is one of two grocery anchored shopping centers located within a 10 mile radius that service Middlebury and its surrounding communities. Middlebury Commons is strategically located at the intersection of Route 7 and Washington Street truly in the geographic center of Middlebury and the closest shopping center to Middlebury College, one of the United States’ elite liberal arts colleges founded in 1800. In the summer, the town plays host to the annual Middlebury College Language Schools, as well as the college’s Bread Loaf Writers’ Conference, the oldest surviving conference of its kind in the nation.
Today, as the largest town by population in Addison County, Middlebury serves as the commercial and business center for the region. Downtown hosts a movie theater, the post office, and two historic inns, as well as many shops and restaurants. There is considerable development along U.S. Route 7 heading south of town, including Shaw’s and Hannaford supermarkets, two drugstores, gas stations, and several fast-food restaurants. Of note is Middlebury’s A&W, Vermont’s only remaining car-hop restaurant and a popular spot with both locals and Middlebury College students. Along with A&W, Middlebury also has a McDonald’s, a Dunkin’ Donuts, and a Subway for fast food restaurants. Middlebury Commons consists of a 33,690 square foot Shaw’s Supermarket and a 5,000 square foot outparcel leased to Green Pepper’s Restaurant, Joe’s Barbershop, Mountain Fresh Cleaning, and a small vacancy. All of the small tenants have been longstanding tenants in the community and are popular destinations for the Middlebury students and faculty. Shaw’s Supermarkets currently master leases the entire 38,690 square feet. The lease is an absolute net lease which requires no obligation on the landlord to maintain or replace anything in the shopping center. Shaw’s currently has annual sales of $416 per square foot.
Constructed in 1993, Middlebury Commons was originally built and tenanted by Grand Union Markets and the lease was assigned to Shaw’s Supermarkets in March of 2001. The +/- 38,690 square foot shopping center sits on 3.69 acres of land at the major intersection in Middlebury.
Middlebury Commons offers investors the ability to acquire a 100% absolute net leased asset occupied by a strong regional credit tenant at $196.43 PSF which is below replacement cost. Crosspoint also sees future value-add opportunities as Shaw’s may be willing to give back the 5,000 square foot outparcel building that Crosspoint would retenant with National tenants at current market rents.
- 100% Absolute Net Lease to one of New England’s dominant grocers.
- Limited new supply due to Vermont’s extremely high barriers to entry.
- Future upside potential with the recapture and retenanting of the master leased pad.
- Closest grocery store to Middlebury College.
- Purchase price below replacement cost.