Ashley Furniture HomeStore TENANT OVERVIEW

Net Lease Advisor Tenant Ashley Furniture


  • NNN lease eliminates landlord responsibilities
  • No. 1 selling furniture store brand in the world
  • Lease terms generally are 15 year NNN


  • Private company/non-investment grade
  • Due to size, harder to lease property if the tenant leaves
  • Many sites are franchisee locations, with operator strength varying significantly

Tenant Description

Ashley Furniture HomeStore is a furniture store chain that retails the furniture made by their parent company, Ashley Furniture Industries.

Ashley Furniture HomeStore is a highly sought after brand and has been aggressively expanding in recent years. Ashley Furniture HomeStore typically features a 30,000 - 54,000 square foot building, and usually situated on 2.5 - 5.5 acres of land. Ashley Furniture HomeStore net lease properties provide a long-term investment with no property management responsibilities. Generally the lease term is a 15-year NNN with three (3) five (5) year options, with increases annually or 7.5-10% every five (5) years. Ashley Furniture HomeStore are generally operated by franchisees. In less than 10 years, Ashley Furniture HomeStore has become the No. 1 retailer of furniture and bedding in the United States and the No. 1 selling furniture store brand in the world.

Ashley Furniture began as a small furniture sales company in 1945 has since expanded to become the world’s largest furniture manufacturer in the world. There are now more than 600 Ashley HomeStore and 15 manufacturing and distribution facilities across the globe.. Their stores are located throughout the United States, Canada, Mexico, Central America, and Japan, and the company is expanding domestically and abroad every day. The chain is comprised of both corporate and independently owned and operated furniture stores.

The parent company of Ashley Furniture HomeStore, Ashley Furniture Industries, is headquartered in Arcadia, Wisconsin and continues to be the core manufacturing and distribution center for the Ashley Companies. Owned by a father and son team, Ron and Todd R. Wanek, the company manufactures and distributes home furnishings throughout the globe. The company employs more than 18,000 individuals.

After 50 years of innovation, the small company founded by Carlyle Weinberger has grown into an industry leader for manufacturing quality furniture products. Today, Ashley has sales over $3 billion. The Ashley Companies now has three separate operating divisions: Ashley Casegoods, Ashley Upholstery and Millennium.

Average Cap Rate
12 mo avg with 10+ yr lease term
Average Property & Lease
Average Sale Price $4,075,000
NOI $472,147
$/Square Foot $123
Building SF 30,000 - 54,000
Lot Size 2.5 - 5.5 Acres
Lease Term 15 Year
Escalations 7.5 - 10% Every 5 Years
Stock Symbol N/A
Credit Rating
Moody's N/A
Average Cap Rate Trend
Rates reflect last 12 mos, short and long-term
Recent Sales Comps
College Station, TX 7.01%
Waco, TX 8.50%