Big O Tires

Tenant Description

Big O Tires is one of North America’s largest retail tire franchisors with more than 450 independently owned and operated locations in 25 states. They offer a range of diagnostic, repair and routine maintenance services, backed by one of the best national services warranties in the industry. The company is headquartered in Palm Beach Gardens, Florida and is a wholly owned subsidiary of TBC Corporation. Most Big O Tires locations are found in the West and Midwest.

What We Like About Big O Tires

E Commerce Resistant Business Model, High Cap Rates, Strong Guarantee

What To Look For When Buying A Big O Tires

Who is the franchisee on the lease? How strong are the financials of that operator?

Biggest Competition

Bridgestone/Firestone

What Is Sold In A Big O Tires

Big O Tires sells tires online and in store. They also offer maintenance and repair services such as tire rotations, filter changes, and other routine car services.

Big O Tires Website

https://www.bigotires.com/

Corporate Office Location

4280 Professional Center Dr #400 – Palm Beach Gardens, FL 33410

Parent Company

Big O Tires joined forces with TBC Corporation, one of North America’s largest marketers of automotive replacement tires, in 1996.  As of July, 1996, Big O Tires, LLC. operates as a subsidiary of TBC Corporation, Inc.

http://www.tbccorp.com/

Fast Facts

The company was founded in 1962 and is based in Palm Beach Gardens, Florida.

Big O was ranked by consumers as “Best Overall Replacement Tire in Customer Satisfaction for Passenger Vehicles” by J.D. Power and Associates’ 1995 Replacement Tire Study

Stock Price
Tenant News
Average Cap Rate Trend
6.50%
2019
6.25%
2020
12 mo avg with 10+ yr lease term (*Data Points Are Rounded Up*)
Average Sale Data & Lease Structure
Avg. Sale Price$3,000,000
Avg. Annual Rental Income$180,000
Avg. Price/SF$400
Typical Lease TypeTriple NNN
Typical Lease Term15 Years
Typical Lease Escalations10% Every 5 Years
Credit Rating (Parent Company)
S & PA- Negative
Moody'sBaa1 Negative

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