Why Two Dollar Generals Can Look Identical and Trade at Different Prices

Not all Dollar Generals are created equal — and if you’re evaluating a triple net property right now, the lease term is the most important number on the page.In this episode of Commercial Connections, I walk through three real Dollar General properties I’m currently analyzing. Same tenant. Same lease structure. Same general region of Texas. Same era of construction. But they’re trading at different cap rates — and the reason comes down entirely to how much lease term is left and how the market prices the next renewal decision that you don’t control.If you’ve ever looked at an NNN offering and wondered why cap rates vary this much between similar properties, this episode will make it concrete. 🧠 WHAT WE COVERWhy cap rate isn’t just a yield number — it’s a risk signalThe three stages of lease term and how buyers price each oneThree real Dollar General properties in Texas with different cap rates and whyWhy a 6.5% and a 7% cap rate on identical buildings mean very different thingsHow to read an offering memorandum and focus on what mattersThe three numbers that tell you how the market is thinking about any NNN dealWhat you can and can’t control as a buyer — and how to size risk accordingly💬 STAY AHEAD YOUR WAYWant smarter insights, market trends, and strategies delivered to your inbox? Join the Commercial Connections Newsletter. 📅 BOOK A CALLIf you’re evaluating triple net properties or exploring a 1031 exchange, I can help you think through the numbers before you commit.Schedule a strategy call: eugene-commercial.com 🔗 CONNECT WITH MEFree Pinpoint Price Evaluation: eugene-commercial.comEugene–Springfield Apartment Market Snapshot: go.eugene-commercial.com/eugene-springfield-market-snapshotUniversity of Oregon Apartment Market Snapshot: go.eugene-commercial.com/uofo-market-snapshot Chapters:0:00 — Why cap rate isn’t just a yield number0:25 — The setup: three Dollar Generals, one question1:00 — Example 1: Canyon Lake, Texas — 6.5% cap, six years remaining1:25 — Example 2: Liberty, Texas — 7% cap, thinner buyer pool1:50 — Example 3: Pointblank, Texas — same structure, same issue2:15 — The pattern: as lease term declines, cap rate rises2:30 — Dollar General’s history and why renewal risk is real2:45 — How I underwrite these deals: 10+ years, 6–8 years, 5 or less3:05 — The three numbers to pull from any offering memorandum3:35 — What you can and can’t control as a buyer3:50 — How to get the Triple Net Properties buying guide