Bridgestone/Firestone TENANT OVERVIEW
Updated: November 6, 2019
- Rental increases during primary term
- Investment grade credit
Bridgestone, parent company of Firestone, is one of the largest tire retailers in the world.
Bridgestone makes an attractive net lease tenant because they operate in a business that is relatively internet proof, has strong credit, and have rental increases during the lease term. The tire and auto service industry is in a strong position to excel into the future. While cars may change, the need for tires and service will not. The strength of credit is an appealing aspect for investors. S&P rates Bridgestone Corp. ‘A’, indicating that Bridgestone is extremely likely to meet an outstanding liabilities. The rental increases during the primary term, in most Bridgestone leases provide investors with a return that grows while being a hedge against inflation.
Bridgestone was founded in 1931 by Shojiro Ishibashi in Japan. Bridgestone expanded to become Japan’s largest tire manufacturer. In 1988, Bridgestone acquired Firestone Tire & Rubber Company to transform into one of the largest tire and rubber companies in the world.
Average Cap Rate
12 mo avg with 10+ yr lease term
Average Property & Lease
|Average Sale Price
||$315 - $360
||7,000 - 8,000
Average Cap Rate Trend
Rates reflect last 12 mos, short and long-term
Recent Sales Comps
Featured Tenant Profiles
Avg. Cap Rate: 5.48%
Sector: Casual Dining
Avg. Cap Rate: 6.18%
Avg. Cap Rate: 5.63%