Just last week I mentioned that the drug store sector is in flux. I see from a source that all remaining Rite Stores will be closing their doors.

I know that is a huge chain, but each and every chain has its own business credit rating and this company was in the junk bond category, below BBB+. I am still a HUGE fan of buying commercial deals, but PLEASE make it a point not to gamble. There are helping resources out there that can assist you. One of the speakers is talking specifically about making that jump from land-lording to investing. You can continue to enjoy that rat race on the tread mill, or you can get TRUE mailbox money.

The risk are so much lower and the returns are only a tad bit lower if you learn what and where to target. You wouldn't do your own heart surgery so don't make this jump on your own. There are too many zeros involved.

We've had a Dollar Store / and/or Tree / and/or Family (I'm not sure, forget what the signs were) open up in the SAME NEW PURPOSE-BUILT BUILDING - one store on one side, one on the other - and then they both shut down same day and signs disappeared. New building, dead empty. Seems weird. And someone lost some money for sure.

I don't think it was a "refused to pay bribes" situation. Sheesh.

Rite Aid had two big issues:

1. They had numerous lawsuits about knowingly filling unlawful opioid prescriptions across many locations. They took a big hit from penalties and settlements from this.

2. They just didn't adapt. Online and mail-order pharmacies have become huge and Rite Aid didn't shift to this changing landscape. When others were looking to go online 20 years ago, Rite Aid started buying up rival chains instead. They just didn't adjust to the times.

They basically had a lot of poorly maintained stores because they thought they could get by forever without providing anything significant to attract people except prescriptions. They thought that would be enough to always work. And then the online pharmacies came in and remove all reason for people to walk into a Rite Aid.

After effect of 46's policies. Of course the synchronized media kept silent during 2 back to back negative growth GDP. Tried to downplay it saying it wasn't the definition of a recession anymore and even had articles on how a "downturn is GOOD for you!" LOL. They did this under 44 as well.

Rite Aid may exist online yet. When Albertson's didn't buy a large chunk of the core company, they were down graded to Junk bond level.

There are some bright spots - Trader Joe's is expanding as are Sam's Clubs and Ollie's. Some Big Lots are restructuring too.

I am not sure if this spells an opportunity for someone at our level or not Mike. There is the old building left behind and those can be rather in inexpensive. I see the pharmacy industry shifting more towards mail order service.

Commercial is best when the building has multiple purposes. The big metal box with concrete floors remains my favorite, because it can be built out to suit any need relatively cheaply, but is already usable as a shop or inventory space by someone with automotive, HVAC, electrical, plumbing or re-sale business.

I would avoid investing in something with an iconic "brand look" that would be expensive to adapt to another use.

As for Retail, small offices located on major thorough fares with high traffic count. 600 - 1000 sq feet. Just enough for a one-man shop like a counselor, accountant, financial advisor, attorney, etc. A place to meet clients that isn't your house, but isn't too expensive either. The rent is higher per square foot and less customer foot traffic that causes wear and tear.

Had some Walgreens close up in a nearby town.

One sat for maybe 2 years and now is being filled with a satellite medical facility.

The drug stores doing well here are the one's that cater to medicare. Locally there are two that seem to pop up when shopping for the prescription drug package each year. One is Walmart the other is United Grocery Stores. United is amazingly efficient. They have one of the big dispensing machines that spits out labeled prescription bottles which are picked up and hung on a rack similar to what you see at the dry cleaners. When you walk up they look up your prescription and by the time you pay for it the automated rack has delivered it right behind the check out person. I can see why the old school pharmacies are going by the wayside.