Thoughts on Dollar General

[Shannon Kiefhaber]

I am analyzing a deal to buy a freestanding Dollar General with a 6.3% cap rate and triple net lease with ten years left. I was excited about the deal until I visited the property and saw that there was a Dollar General two miles north and south. This particular store is a "plus" selling beer and wine so there is a distinguishing factor plus this store is only a few years old and the building is over 12,000 SF. Anyone else out there own DG's and have any advise or thoughts about profitability over the next 10 years? Thanks BP community!