GPM Disposition PortfolioLocation Intelligence & Lease Summary
GPM Disposition PortfolioLocation Intelligence & Lease Summary
309 E State St, Cheboygan, MI
| Tenant / d/b/a | Marathon |
| Guarantor | Fas Mart (GPM Investments) |
| Lease commencement | Oct 09, 2007 |
| Lease expiration | Sep 30, 2032 |
| Remaining term | 6.1 yrs |
| Lease term (months) | — |
| Annual base rent | $101,554 |
| Base rent $/SF | $52.29 |
| Rent at expiration | — |
| Expiration rent $/SF | — |
| Renewal options | 1/1 |
| Notice date | Mar 04, 2032 |
| Year built | 1970 |
| Building SF | 1,942 |
| Land area (acres) | 0.64 |
| Pre G&A CFC | 3.75x (2024) |
| Lease status | Active |
Cheboygan is a Lake Huron port and gateway to the Inland Waterway, drawing boating and outdoor-recreation tourism beyond its resident base.
The location score above reflects resident-market real-estate fundamentals and does not incorporate seasonal or destination demand; consider this note alongside the store-level coverage (CFC) when assessing the asset.
| Metric | 1 mi | 3 mi | 5 mi |
|---|---|---|---|
| Population | 0 | 6,744 | 6,744 |
| Households | 0 | 2,897 | 2,897 |
| Pop. density (/sq mi) | 0 | 239 | 86 |
| Avg HH income | — | $62,323 | $62,323 |
| Poverty rate | — | 15.1% | 15.1% |
| Bachelor's+ | — | 19.3% | 19.3% |
| Median home value | — | $142,340 | $142,340 |
| Median rent | — | $746 | $746 |
| Median age | — | 47 | 47 |
| Owner-occupied | — | 73.7% | 73.7% |
309 E State St is a 1,942 SF Marathon/Fas Mart convenience store in Cheboygan, Michigan, a small nonmetro market with modest fundamentals. The property carries an average location grade of 42/100, reflecting thin trade-area density and a constrained local economy. The investment case rests primarily on the remaining lease term and the creditworthiness of the guarantor rather than on location quality.
The 3-mile trade area holds 6,744 residents at a low density of 239 per square mile, with average household income of $62,323 and a poverty rate of 15.1%, both indicative of a working-class, price-sensitive consumer base. Median home values of $142,340 and median rents of $746 confirm limited discretionary spending capacity. Population figures are identical at the 3-mile and 5-mile rings, suggesting the site draws from a compact, non-expanding catchment.
Cheboygan County is a nonmetro, non-adjacent market with 11.9% unemployment, well above national averages, and a modest business base of 759 total establishments and 4,556 employees. County population grew only 1.5% from 2020 to 2024, signaling low organic demand growth. This is a static, rural-adjacent market with limited catalyst for meaningful rent escalation or redevelopment optionality.
The site sits 0.01 miles from the nearest major road with AADT of 5,898 vehicles per day, which is serviceable but below thresholds typical of high-performing fuel locations. A Walk Score of 68 reflects some surrounding retail activity, including 20 nearby restaurants and 11 retail tenants within one mile. However, three competing gas stations within one mile and two within a half-mile create meaningful fuel volume headwinds.
The site falls in FEMA Flood Zone X, indicating minimal flood exposure. State-level crime statistics were unavailable for this analysis. Five EV charging stations within five miles represent an early but growing alternative fuel presence in this small market.
With 6.1 years of remaining term expiring September 2032 and a single one-year renewal option, a buyer faces a near- to medium-term rollover decision in a thin leasing market. Current rent of $101,554 annually ($52.29/SF) provides no visibility into a rent-at-expiration figure, making terminal value assumptions speculative. The guarantor, GPM Investments (subsidiary of Nasdaq-listed ARKO Corp., the sixth-largest U.S. c-store operator with roughly 3,500 sites), provides meaningful credit support, but ARKO's publicly disclosed financial pressures and store rationalization activity warrant scrutiny. The credit backstop partially offsets location risk but does not eliminate lease renewal uncertainty in a low-density rural market.
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