TYSONS CORNER, VA—A CVS here has traded for a record-breaking price of $24.7 million, and a sub 5 cap rate. It is difficult to find a similar comp elsewhere in the country at this price point, Calkain Cos. CEO Jonathan Hipp tells GlobeSt.com. Simply put, he says, "at 4.97% this probably the lowest cap rate ever for a CVS in this price range."

The seller of the CVS is a joint venture between a local developer and a national REIT. The buyer was a joint venture between a Middle Eastern group and Gary Rappaport.

Hipp, along with Andrew Fallon and Jonathan Florin represented the sellers.

The sale price per building square foot and price per acre breaks another recent market record-the $1,672 per square foot trade of the Starbucks building in Washington, DC, earlier this year, which was also brokered by Calkain.

The CVS is uniquely positioned, which explains some, but not all of the drivers behind the sale. Located at 8117 Leesburg Pike, it is the only drugstore, much less freestanding drugstore, to serve the Tysons Corner, which has become a city in its own rights.

Tysons Corner is home to 117,000 daytime workers and 20,000 full-time residents. It also hosts about 6-million-square feet of retail and 27 million square feet of office.

In the bigger picture, the trade also illustrates the strong demand for net-lease real estate occupied by investment-grade tenants. Buyers are willing to pay aggressive cap rates for buildings they plan to own long term," Hipp says. The ground lease for this CVS is a bondable income stream at 25 years of primary term with a 26% rent increase in the 16th lease year.