5.19% Cap Rate
A developer for Wal-Mart Inc.’s Neighborhood Markets grocery concept, Hutton Development had limited margins for its exit of a portfolio of built-to-suit properties. As a result, the seller sought aggressive pricing for the assets in secondary and tertiary markets in the South.
Leveraging our national net-lease database, we marketed the assets aggressively to private investors, national brokers, international buyers and national REITs.
Our team connected with an international buyer in Spain who was in the middle of a $45 million 1031 exchange. The buyer purchased this four-asset portfolio with a loan from New York Life Insurance Co. for 55% of the total purchase value (LTV).
4.62% Cap Rate
Owner TradeCor listed a single-tenant in-line box in a large neighborhood retail center for a high price point at an aggressive CAP rate compared to similar assets in the market. Though established rent was above market, the center imposed certain use restrictions.
Our team identified that a 1031 exchange buyer would be ideal, then developed a marketing plan to pursue an appropriate pool of buyers as well as independent brokers who typically represent them.
Through our nationwide database of investors and brokers, we connected with a buyer in northern California who paid $1million more than the next highest offer, closing the all-cash transaction in fewer than 30 days.
6.07% Cap Rate
The single-tenant asset had a high price point considering the user had only 10 years remaining on the lease and the property had considerable deferred maintenance issues to overcome.
Determining an institutional investor as an ideal buyer, we strategically offered the asset directly to top NNN REIT buyers in the market and scheduled calls to pitch directly.
The property sold at an aggressive price to a buyer with whom we had an existing relationship.
5.32% Cap Rate
The seller was aiming for an exceptionally high asking price despite near-term lease expiration for both anchor tenants, Ralphs and CVS Pharmacy. The two anchors represented 88% of the center’s net operating income (NOI) and existing CMBS debt would need to be assumed or prepaid at a high defeasance cost.
We opted to market the asset without a listing price. Once the property had been fully exposed to the market, we used the assumable debt as a negotiation tool.
We demonstrated long-term upside through residual land value to achieve maximum value for the seller.