Investing in commercial real estate / dollar stores

Walmart has put a lot of your smaller grocery stores out of business. So we are stuck with Walmart, specialty grocery stores, and then DG type of convenience stores. I think most people go about once a week to Walmarx or their grocery store and then to a place like DG or a specialty store to pick up smaller amounts when needed. Obviously they'll be a saturation point but I don't have a clue where that will be. I don't see the DG model going bankrupt any time soon though, if anything it will be like a Starbucks where they close some stores down. But without a bankruptcy they'll still owe on the lease.

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I know people that own dozens of Dollar General, Family Dollar, & US Post Office buildings

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Yea there's a family from Arkansas that owns a ton of DG buildings in Louisiana. Probably the people you're speaking of.

Those stores will continue to proliferate because as Walmart has become more expensive these companies have come in to fill the void of selling goods for less expensive prices than Walmart. The margins for those stores are pretty good and you build them in areas where you have high unemployment or a lower wages because that's their target audience.

They are good investments if you stick with the major national or regional chains. Bankruptcy is a factor in commercial leasing so you either take the risk or go buy baseball cards.

smart people writing commercial lease docs will include termination options. for example, may sign a 5 year lease with an option to terminate after 3. will also include option to sublease. both could keep a tenant from paying bank in the event of closure. real estate strategy brah.

I'm into storage facilities right now and doing okay with them. Two are 100% leased, each with over 75 units, and one is 65% leased with over 100 units but we just remodeled that one (from an old elementary school property we purchased) in 2014.

They are money making machines.

I'd stay away from dollar stores and stick with residential rental properties and storage facilities ... that's my advice, fwiw.

Remember the rule to residential property investment. Stick with Section 2 subsidized stuff so the money goes directly into your LLC. Don't think about making a bunch of monthly income on those - learn to manage them so that you stay ahead of maintenance and taxes long enough to turn the property for a profit down the road. Each property is different but choose your geography well ... stick with the country, stay out of the cities unless it is multifamily housing preferably on a college campus ... and avoid fraternities like the plague.