Boulder says the rise in cap rates is mainly due to investor concern about the evolving retail environment, store footprints for big box retailers and the cost associated with filling big box properties.
Cap rates in the single tenant net lease big box sector increased by 29 basis points, to 7.04% from the fourth quarter of 2017 to the fourth quarter of 2018, according to The Boulder Group, a Wilmette, IL-based boutique investment firm specializing in single tenant net lease properties.
More info at GlobeSt:
Single-Tenant Big Box Cap Rates Jump in Fourth Quarter
