| Purchase Price | $23,800,000 |
|---|---|
| Annual Rental Income | $1,445,800 |
| Cap Rate | 6.07% |
| Lease Term | 18 Years |
| City | Fayetteville |
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BJ’s Wholesale Club – Fayetteville, Arkansas (Northwest Arkansas Region – Walmart Headquarters Corridor – Washington County)
This listing represents a rare opportunity to acquire a long-term, absolute triple-net (NNN) ground lease to BJ’s Wholesale Club in Fayetteville, Arkansas—one of the fastest-growing and most economically influential regions in the U.S. South. Positioned in the core of Northwest Arkansas, home to the headquarters of Walmart, Tyson Foods, and J.B. Hunt, this high-performing property is underpinned by strong corporate credit, no landlord responsibilities, and irreplaceable real estate in a powerhouse retail corridor.
Leased to BJ’s Wholesale Club Holdings, Inc., a publicly traded Fortune 500 company, this asset is backed by a national, investment-grade retailer with over $20 billion in revenue and more than 240 locations across the country. The lease is structured as an absolute ground lease, meaning BJ’s owns all site improvements and is responsible for 100% of property expenses, including maintenance, insurance, taxes, and capital repairs. There are no landlord obligations—making this an ideal 1031 exchange or long-term portfolio hold for investors seeking durable, passive income.
The Fayetteville location represents a strategic new-market entry for BJ’s into the heart of Northwest Arkansas—one of the most dynamic population centers in the United States. The region is supported by Fortune 1 company Walmart’s global headquarters in neighboring Bentonville, along with a strong university presence, rapidly growing residential base, and top-ranked livability indicators. This BJ’s location draws from multiple affluent and established communities including Springdale, Rogers, Bentonville, and Fayetteville itself.
This opportunity offers investors an exceptional combination of tenant strength, long-term lease security, and top-tier regional market fundamentals, anchored by a mission-critical store that reflects BJ’s selective expansion strategy into high-growth Southern metros.
Tenant Overview – BJ’s Wholesale Club Holdings, Inc.
BJ’s Wholesale Club (NYSE: BJ) is one of the largest membership-based warehouse retailers in the U.S. The company serves more than 6.8 million members with over 240 warehouse clubs and 165 gas stations across 20 states, with a footprint concentrated in the Eastern U.S. and aggressively expanding across the Sunbelt and Midwest. BJ’s provides a broad assortment of groceries, fresh foods, general merchandise, and ancillary services such as optical, tire centers, and pharmacy—all at consistently low prices.
Headquartered in Marlborough, Massachusetts, BJ’s differentiates itself from Costco and Sam’s Club by focusing more heavily on consumables and grocery items (comprising nearly 60% of revenue), targeting a more suburban and family-oriented demographic. Its clubs are typically smaller in footprint and more flexible in format, allowing entry into suburban growth markets and underserved retail corridors.
Key corporate facts:
BJ’s conservative rollout strategy means each new location is carefully selected for long-term viability, with heavy upfront investment in site buildout and local marketing. The Fayetteville location is part of this growth initiative into key logistics and retail corridors across the central U.S.
Lease Overview – Absolute NNN Ground Lease
This property is subject to an absolute triple-net (NNN) ground lease, offering investors a truly passive ownership experience with no management, maintenance, or capital exposure. The tenant has full control over the improvements and operations and assumes all responsibilities related to the property.
Typical lease terms include:
With high investment in site infrastructure and regional marketing, BJ’s rarely exits leased locations. Their preference for owning improvements further aligns tenant interest with long-term site occupancy and financial performance.
Market Overview – Fayetteville and Northwest Arkansas Region
Fayetteville is the cultural and economic center of Northwest Arkansas, one of the fastest-growing and most economically vibrant areas in the United States. This region is anchored by a triad of Fortune 500 employers: Walmart (Fortune 1) in Bentonville, Tyson Foods in Springdale, and J.B. Hunt in Lowell. It is also home to the University of Arkansas, providing a strong talent pipeline and economic stability.
Northwest Arkansas continues to attract corporate relocations, new development, and high-income in-migration from across the country due to its low cost of living, strong job growth, and high quality of life. The area is routinely recognized as one of the top places to live in the U.S. by U.S. News & World Report.
Key regional metrics:
The presence of Walmart’s global HQ in Bentonville attracts thousands of retail vendors and service providers to maintain regional offices and supply chain infrastructure, creating immense retail demand and daytime population density.
Submarket Overview – Fayetteville Trade Area
The BJ’s site in Fayetteville serves a large regional trade area encompassing affluent suburban communities, university housing districts, and the densely populated corridor that stretches through Springdale, Rogers, and Bentonville. This cluster of cities forms a contiguous retail and logistics hub that generates consistent commercial traffic and high consumer spending.
Submarket features:
Fayetteville’s blend of student population, corporate professionals, and established families provides BJ’s with a strong membership base, well-matched to its value-oriented and convenience-driven service model.
Property Overview – Site Design and Operations
This BJ’s Wholesale Club is constructed to the company’s latest site standards, designed to support high-volume warehouse retail with optimized customer flow, bulk shopping convenience, and digital fulfillment support.
Typical BJ’s format includes:
The site is built with long-term durability and minimal maintenance burden, further supporting its use as a long-term investment-grade property.
Strategic Investment Case
This ground lease investment to BJ’s Wholesale Club in Fayetteville, Arkansas, is a compelling opportunity based on the following strategic advantages:
Few properties offer this combination of stable cash flow, institutional-grade tenancy, and long-term regional demand growth.
Conclusion
The BJ’s Wholesale Club ground lease in Fayetteville, Arkansas offers an exceptional opportunity to acquire a true passive-income asset in one of the most economically resilient and demographically robust regions of the southern United States. With zero management obligations, corporate-backed rent, and an irreplaceable retail location in the Walmart headquarters trade corridor, this property stands out as a durable and secure vehicle for capital preservation and income generation.
As BJ’s continues to grow its national footprint into top-tier secondary markets, high-quality ground lease opportunities like this one will become increasingly scarce. For investors seeking a blend of stability, credit strength, and strategic growth upside, this Fayetteville location is a premier long-term hold.