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Carvana NNN Investor Hub | Cap Rate Trends, Credit Rating Trends, Lease Terms & Due Diligence

Cheddar’s NNN Properties, Cheddar’s Ground Lease Properties, Cheddar’s net lease, Cheddar’s cap rates, Cheddar’s lease terms, Cheddar’s tenant credit, Cheddar’s real estate, 1031 exchange, NNN properties, ground lease properties

Last Year Cap

7.4%

This Year Cap

7.6%

Cap Change

0.2%

Last Year Rating

B-

This Year Rating

B

Rating Change

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Carvana – NNN Cap Rate Trend

Cap Rate Trends

wdt_ID wdt_created_by wdt_created_at wdt_last_edited_by wdt_last_edited_at Tenant Year Cap Rate
5779 admin2 2026 04:17 AM admin2 2026 04:17 AM 7 Brew 2,020 6.5
5780 admin2 2026 04:17 AM admin2 2026 04:17 AM 7 Brew 2,021 6.3
5781 admin2 2026 04:17 AM admin2 2026 04:17 AM 7 Brew 2,022 6.0
5782 admin2 2026 04:17 AM admin2 2026 04:17 AM 7 Brew 2,023 6.3
5783 admin2 2026 04:17 AM admin2 2026 04:17 AM 7 Brew 2,024 6.6
5784 admin2 2026 04:17 AM admin2 2026 04:17 AM 7 Brew 2,025 6.6
Tenant Year Cap Rate
1031 Exchange
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Credit (what net-lease buyers care about)

Credit Snapshot

Carvana

Cap Rates NNN
Last Year 7.4%
This Year 7.6%
Change 0.2%
S&P Rating CREDIT
Last Year B-
This Year B
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Carvana Net Lease: Secure, Essential Investment

Carvana is a leading online used-car retailer known for its digital vehicle purchasing platform, nationwide operations, and distinctive automated vehicle vending machines. This guide reviews cap rates, lease terms, tenant credit, property fundamentals, and key due diligence considerations for buyers and sellers. For 1031 exchange buyers, Carvana Ground Lease Properties can be evaluated alongside fee simple Carvana assets, as lease structure, remaining term, rent escalations, and site value can materially affect pricing, financing, and long-term resale potential.

Investors often evaluate Carvana assets for:

  • Long-Term Income Potential
  • 1031 Exchange Compatibility

Carvana Ground Lease Properties require close comparison of rent escalations, remaining lease term, renewal options, landlord responsibilities, site utility, and residual land value versus fee simple ownership.

Carvana Ground Lease Properties for 1031 Exchange Buyers

Carvana Ground Lease Properties can differ significantly from fee simple Carvana assets. Buyers should carefully evaluate lease structure, remaining term, renewal options, rent growth, landlord responsibilities, property access, vehicle storage capacity, and reversion rights to understand the long-term risk and return profile.

Carvana – Credit Trend (S&P vs Moody’s)

Tenant_Rating_Trend

wdt_ID wdt_created_by wdt_created_at wdt_last_edited_by wdt_last_edited_at TenantKey Tenant Year Moody SP Moody_Grade SP_Grade Moody_GradeRank SP_GradeRank
1 admin2 2025 03:43 PM admin2 2025 03:43 PM 7eleveninc 7-Eleven, Inc. 2022 Baa2 A Lower Medium Grade Upper Medium Grade 5 6
2 admin2 2025 03:43 PM admin2 2025 03:43 PM 7eleveninc 7-Eleven, Inc. 2023 Baa2 A Lower Medium Grade Upper Medium Grade 5 6
3 admin2 2025 03:43 PM admin2 2025 03:43 PM 7eleveninc 7-Eleven, Inc. 2024 Baa2 A Lower Medium Grade Upper Medium Grade 5 6
4 admin2 2025 03:43 PM admin2 2025 03:43 PM 7eleveninc 7-Eleven, Inc. 2025 Baa2 A Lower Medium Grade Upper Medium Grade 5 6
5 admin2 2025 03:43 PM admin2 2025 03:43 PM 99centsonlystoresllc 99 Cents Only Stores, LLC 2022 Caa2 CCC+ Substantial Risk Substantial Risk 2 2
TenantKey Tenant Year Moody SP Moody_Grade SP_Grade Moody_GradeRank SP_GradeRank

Carvana Stock Price (NYSE: CVNA)

CVNA stock price by TradingView

Carvana Investment Market Statistics

AVERAGE SALE PRICE

$9,000,000

BUILDING SIZE

8,000 – 10,000 SF

AVERAGE NOI

$600,000

LAND

1.0 – 2.6 acres

$/SF RANGE

$800 – $1,510

LEASE TERM SHOWN

20 years

Carvana Investor Snapshot (Quick Facts)

Origins & Growth (Past)

• Founded in 2012 as an online used-car retailer
• Built a digital-first vehicle buying and selling platform
• Introduced its signature multi-story car vending machines
• Expanded its nationwide vehicle delivery and logistics network
• Developed centralized inspection and reconditioning facilities

Where Carvana Stands Today

• Leading U.S. e-commerce platform for buying and selling used cars
• Sold 596,641 retail units in 2025, up 43% year over year
• Generated $20.3 billion in 2025 revenue
• Operates a nationwide logistics and reconditioning network
• Offers more than 75,000 vehicles through its online inventory
• Operates 39 car vending machines across the U.S.

Where Carvana Stands Today

• Strong growth in retail vehicle sales
• Increasing scale and operating efficiency
• Expanding digital vehicle purchasing experience
• Large nationwide inventory and fulfillment network
• Growing customer reach through logistics infrastructure
• Record $1.9 billion net income in 2025
• Record $2.2 billion Adjusted EBITDA in 2025
• Continued focus on profitable growth and operational scale

 

Why investors buy Carvana NNN Properties or Carvana ground Lease Properties?

Pros (what buyers like)

  • Strong national brand
    Recognized online used-car retailer
  • Essential automotive demand
    Supports consistent vehicle sales activity
  • Strategic locations
    Visibility, access, and population density matter
  • Long-Term Lease Potential
    NNN and ground leases can support passive income
  • Growing e-commerce platform
    Digital-first model expands customer reach

Cons (what can bite you)

  • Tenant credit risk
    Financial strength requires careful review
  • Lease structure variability
    Terms and landlord obligations can differ
  • Specialized property risk
    Car-focused layouts may limit reuse
  • Re-tenanting challenges
    Conversion may be costly for new tenants
  • Vehicle inventory exposure
    Sales performance can affect overall site demand. Changes in inventory levels may influence operational space requirements.

Find out more

Cheddar’s NNN Properties, Cheddar’s Ground Lease Properties, Cheddar’s net lease, Cheddar’s cap rates, Cheddar’s lease terms, Cheddar’s tenant credit, Cheddar’s real estate, 1031 exchange, NNN properties, ground lease properties

Carvana Background & History

Carvana is a technology-driven automotive retailer focused on buying and selling used vehicles online. Founded in 2012, the company developed a digital-first model that allows customers to browse inventory, arrange financing, trade in vehicles, and complete purchases online. Its platform is supported by vehicle logistics, inspection and reconditioning facilities, and customer delivery infrastructure.

Carvana expanded its operating platform through continued market growth and its acquisition of ADESA, adding auction and automotive infrastructure to its retail business. The company has continued investing in logistics, reconditioning capacity, and technology to improve vehicle selection, delivery speed, and operating efficiency.

In 2025, Carvana reported 596,641 retail units sold and $20.3 billion in revenue, reflecting continued growth in its used-vehicle retail platform.

Why Carvana Matters to NNN Investors

Carvana can be relevant to NNN investors because its properties support a specialized automotive retail and logistics model. Site functionality is particularly important, including vehicle storage, customer access, transportation connectivity, visibility, and proximity to population centers.

Carvana’s digital-first sales model is supported by physical infrastructure such as inspection and reconditioning centers and delivery operations. This combination of online retail and physical infrastructure makes the underlying property an important part of the operating platform.

For investors, a Carvana NNN property can offer the potential for long-term lease income, a recognizable national tenant, and specialized automotive-use real estate. However, investors should carefully evaluate tenant credit, lease structure, remaining lease term, rent escalations, and the property’s alternative-use potential.

What Buyers and Sellers Should Evaluate

For investors evaluating Carvana NNN Properties, Carvana Ground Lease Properties, or a Carvana net lease, the investment analysis should focus on both tenant strength and real estate fundamentals. Buyers should review remaining lease term, renewal options, rent escalations, landlord responsibilities, vehicle storage capacity, parking, ingress and egress, visibility, traffic patterns, surrounding demographics, and the property’s ability to accommodate another automotive or commercial user.

Investors should also consider used-vehicle market conditions, consumer demand, vehicle pricing, inventory availability, competition, and Carvana’s financial performance. Ultimately, Carvana net lease value is driven by tenant credit, lease economics, property functionality, location quality, and long-term re-tenanting potential.

Corporate vs. Franchise | Store Count

Carvana operates under a company-owned business model rather than a traditional franchise system. The company has built a nationwide automotive retail platform that combines online vehicle sales with physical locations, vehicle inspection and reconditioning facilities, logistics operations, and customer delivery services. For NNN and ground lease investors, this corporate operating model provides a direct tenant relationship, while property functionality and location quality remain important factors when evaluating individual Carvana sites.

Carvana Financial Snapshot

Carvana is a publicly traded automotive retailer focused primarily on online used-vehicle sales. The company generated approximately $20.3 billion in revenue and sold 596,641 retail units in 2025, demonstrating significant operating scale. Its financial performance, profitability, sales growth, liquidity, and overall balance-sheet position are important considerations for investors evaluating tenant credit and long-term lease reliability. Investors should also consider how changes in used-vehicle demand and market conditions could affect future operating performance.

Carvana Lease Types

Carvana properties may be structured as NNN, NN, or ground leases, depending on the individual transaction. Lease terms can vary significantly regarding rent escalations, remaining lease term, renewal options, operating expenses, and landlord responsibilities. Because Carvana properties can require specialized vehicle storage, parking, access, and site improvements, investors should carefully review the lease structure, property expenses, capital obligations, and alternative-use potential before underwriting and pricing a Carvana net lease property.

our team of experts are here for you

Our team helps investors evaluate NNN properties with practical, market-based guidance. In addition, we support buyers and sellers with lease review, pricing analysis, and due diligence strategy.

Whether you are comparing Carvana ground lease properties or fee simple Carvana assets, we can help you review the details that affect risk and long-term value. As a result, clients can make more confident decisions based on lease structure, location quality, and investment goals.

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