Marcus & Millichap is pleased to introduce a mission-critical industrial-distribution and office property leased to Chewy, Inc. (NYSE: CHWY) under a corporate-guaranteed lease with roughly 3.5 years left on the initial term and two five-year renewal options. The lease offers 2.5% annual rent escalations and a modified gross structure, with utility pass-throughs and expense reimbursements above a 2019 base year. Serving as Chewy’s core compounding pharmacy, the facility plays a key role in the company’s growing pharmacy operations, aided by Kentucky’s participation in the FDA's 503A MOU enabling higher interstate shipments of compounded pet medications, positioning it perfectly for this role. The location also carries a PCAB accreditation, a rare distinction for exceptional quality and safety in veterinary compounding, increases switching costs and tenant stickiness. With Chewy’s pharmacy segment now a major contributor to its projected $12.3 billion FY2025 revenue, this property is a key long-term asset providing specialized infrastructure and compliance. A substantial value-add potential (12-15% IRR) comes from Chewy’s option to expand by 10,000 square feet, highly probable given the building’s geography, state regulations and home base for the highest-margin segment of their business. Located near Interstate 65 (200,000 vehicles daily) and a signalized intersection (52,000 vehicles daily) in a bustling, densely populated trade area, the property gains from Louisville’s top-three U.S. office market status with sub-6.0% vacancy, reflecting strong regional fundamentals.