| Metric | Details |
|---|---|
| Model Type | Voluntary alliance of independently owned and operated grocery stores |
| US Brand Owner | IGA, Inc. (Chicago), which runs the IGA brand program for member stores |
| US Wholesale Support | Varies by store; confirm the store’s supplier |
| Credit Rating | Not rated (stores are independently owned and operated) |
| Individual Store Credit | The store’s owner or operating company; confirm any guarantee in the lease |
| Investment Grade Status | Not Rated |
| US Store Count | Over 2,600 U.S. stores in the alliance, per IGA, Inc. (October 2026); members may use the IGA banner or only its programs |
| Median asking cap rate | Too few current listings to report; see comparable tenants in the live table below |
| Typical Lease Term | Varies; confirm in the lease |
| Guarantee Type | Varies; confirm the guarantor named in the lease |
| Typical Building Size | Varies; confirm for each property |
IGA is not rated. Our ratings database records no public rating for IGA from S&P Global Ratings, Moody’s or Fitch. Without an agency rating, lease credit is assessed from financial statements and any guarantee in the lease. Ratings checked September 27, 2026. See the investment grade credit tenant ratings table.
IGA Supermarkets: Understanding the Independent Alliance Model for NNN Investors
IGA, the Independent Grocers Alliance, is different from the corporate-operated grocery chains on the credit tenant ratings page. Unlike Kroger, Publix, Albertsons, or even Hy-Vee, IGA is not an operating grocery company. IGA is an alliance that independent grocers join for access to the IGA brand, marketing and retail programs, and partnerships with manufacturers and service providers. Each IGA store is independently owned and operated, not owned by IGA, Inc. (the Chicago-based company behind the IGA brand in the US).
IGA’s History and Current Structure
IGA was founded in 1926 to bring family-owned, local grocery stores together under the IGA brand. Today IGA, Inc. serves independent grocers in the US, and the alliance has stores in other countries. IGA, Inc. says on its website (October 2026) that the alliance has over 2,600 U.S. stores and over 7,500 stores worldwide; members can choose to become branded IGA retailers or use only IGA’s programs.
Where an IGA store is the only full-service grocery in its community, that local position can support demand even without corporate balance sheet backing; confirm the local competition for each property.
Evaluating IGA NNN Credit: The Individual Operator Framework
NNN investors evaluating IGA properties must conduct independent financial due diligence on the specific operating entity. Key assessment factors include:
| Due Diligence Factor | What to Look For |
|---|---|
| Number of stores operated | Multi-store operators may have more resources than single-store operators |
| Years in operation at this location | A longer history can indicate steady local demand |
| Market monopoly | Is this the only grocery in a 10+ mile radius? |
| Annual financial statements | Request 3 years of P&L and balance sheet before committing |
| Real estate ownership history | Has the operator owned this property previously? Consistent tenure? |
| Community ties | Multi-generation family owners may have strong reasons to stay at the location |
IGA NNN Cap Rate & Pricing
Live asking cap rates for comparable grocery tenants; IGA Supermarkets appears only when we track at least three active IGA listings with a published cap rate:
| Tenant | S&P / Moody’s | Median asking cap rate | Middle half of listings | Listings | Median vs. 10-year Treasury |
|---|---|---|---|---|---|
| Aldi / Trader Joe's | n/a / n/a | 5.28% | 4.69% to 5.50% | 16 | +4 bps |
| Piggly Wiggly | NR / NR | 7.00% | 7.00% to 7.00% | 5 | +176 bps |
Active listings InvestmentGrade.com tracks with an asking cap rate (stated in the listing, or computed from its stated income and price when no rate is stated), listings last observed October 12, 2026. Asking cap rates are not closed-sale cap rates. The middle half is the range from the 25th to the 75th percentile of listings. The 10-year Treasury yield is 5.24% as of October 1, 2026 (FRED series DGS10). Ratings are the agency ratings in our ratings database for the entity shown, which may be a parent company; the rating type (for example issuer, senior unsecured debt, long-term debt or revenue bond ratings) varies by company and is shown on each tenant page. A rating applies to a lease only if the rated entity signs or guarantees it, so confirm the tenant and any guarantor in the lease. n/a means no verified rating is on file. Not shown because fewer than 3 active listings with a published cap rate were observed: IGA, Family Fare (SpartanNash).
Pricing varies with the operator’s financial strength, local competition and lease terms; see the live table for current asking cap rates of comparable grocery tenants.
Asking prices vary with store size, location and lease terms.
Comparable NNN Tenants
| Comparable Tenant | Rating |
|---|---|
| Piggly Wiggly | Not rated |
| Family Fare / SpartanNash | no verified rating |
| ALDI | no verified rating |
IGA Supermarkets NNN Benchmark for 1031 Buyers
IGA can be attractive when a local operator controls an essential grocery position, but it is not a corporate-credit substitute for Kroger, Ahold Delhaize, or Publix. A 1031 buyer should benchmark IGA around operator financials, local monopoly value, lease structure, and the exit market for independent-grocery income.
- 1031 fit: use the best investment grade NNN tenants for 1031 exchange framework to separate higher-yield grocery income from investment-grade tenant credit.
- Peer benchmark: compare IGA with Piggly Wiggly, Save-A-Lot, and Family Fare / SpartanNash before identifying replacement property.
For sellers, the process often starts with proving the operator, not the banner: financial statements, store tenure, trade-area necessity, and clean lease documentation.
Is IGA a corporate-guaranteed NNN tenant?
No. IGA is an alliance of independently owned and operated grocery stores, not an operating company. Each IGA store is independently owned and operated, so the lease rests on the tenant and any guarantor named in it; confirm both in the lease. There is no centralized corporate credit to evaluate.
Who owns the IGA brand?
In the US, the IGA brand program is run by IGA, Inc., a Chicago-based company; member stores can choose to become branded IGA retailers. IGA stores are independently owned and operated, so confirm any lease guarantee in the lease itself.
What are the asking cap rates for IGA NNN properties?
The live table on this page shows current median asking cap rates for comparable grocery tenants, and for IGA Supermarkets once we track at least three active IGA listings with a published cap rate. Pricing for a specific property depends on the remaining lease term, rent level, location and lease guarantor, and asking cap rates are not closed-sale cap rates.
IGA Net Lease Property: Buying, Selling and Financing
Buying: We find on-market and off-market IGA properties, review the lease and the tenant’s credit, and compare pricing with current listings. On the majority of transactions, there is no separate fee to you as the buyer; the listing broker pays a cooperating commission.
Selling: We can prepare an opinion of value from current listings and recent sales and, when it fits your goals, run a confidential sale to private investors, family offices and institutional buyers. See our guide to off-market sales.
Financing: Investment Grade Capital, a service of Investment Grade LLC, matches buyers and owners with lenders for acquisitions and refinancing.
1031 exchanges: Tell us your identification and closing deadlines so we can plan the search around them.
Request an NNN investment consultation or email team@investmentgrade.com.
