Fred’s Super Dollar
Average Property & Lease Terms
Price $1.8m
Lease Type NN
Term 12 Years
Ownership Fee simple
Guarantor Corporate – no franchises
Building Size 16,000 sf
Lot Size 2 acres
Increases Flat
Options 3 five year
Corporate Overview
NYSE: FRED
S&P Rated: Not Rated (understanding credit ratings)
Current Annual Revenue: $1.939 billion
Current Annual Net Income: $26.015 million
Number of Locations: +725
News Website: www.fredsinc.com
Fred’s Super Dollar is a discount general merchandise retailer operating mainly across the southeastern states. It opened with one store in 1947 in Coldwater, Mississippi and today operates over 700 stores (including 24 franchised locations) – and is headquartered in Memphis, Tennessee. Fred’s primarily competes against national, deep-discount chains Dollar General, Family Dollar, and Dollar Tree. In the past few years, it and other deep-discount retailers have taken some market share away from major discount chains like Walmart, as well. Most locations are in towns with populations of 15,000 or less.
Fred’s has attempted to differentiate itself from its rivals by:
• Operating a full-line pharmacy in approximately 1/3 (294) of its stores
• Operating a seasonal lawn and garden department
• Selling tobacco products
Fred’s stores stock more than 12,000 items including nationally recognized brand name products, proprietary Fred’s label products, and lower-priced, off-brand products. The company has two distribution centers, one in Memphis, Tennessee, and Dublin, Georgia.