Marcus & Millichap Capital Corp. (MMCC) arranged $14 million in
acquisition financing.
Marcus & Millichap (NYSE:MMI), has arranged the sale of an
eight-property Walgreens portfolio for $44.33 million. Four of the
properties are located in Texas and the others are in Illinois, New
York, Ohio, and South Carolina.
“The properties are all freestanding, triple net-leased assets in very
strong markets,” says Russell Malayery, CCIM, a director of Marcus &
Millichap’s Net Leased Properties Group. “The primary terms of all the
leases have between 14 and 16 years remaining and 10 five-year option
renewals or in one case, 50 one-year options to renew.”
“Drugstores are still the stalwart of the net-leased investment property
sector, valued for their bullish secular trends and robust credit
backing,” comments Mark Taylor, senior vice president investments,
Marcus & Millichap. “The low-risk nature of drugstore leases will
continue to draw investor interest, particularly as market participants
rebalance their portfolios.”
Malayery, Drew Hines and Walter Chapman, associates, all in the firm’s
Atlanta office, represented the seller, a private investor. Two senior
vice president investments, Taylor of Marcus & Millichap’s Philadelphia
office and Dean Zang in the firm’s Washington, D.C. office, procured the
buyer, also a private investor. Matthew Rosenberg, a director in the
firm’s Philadelphia capital markets group (MMCC), arranged financing for
four of the properties totaling $14 million. The 10-year, nonrecourse,
fixed-term debt was structured with no prepay, 4.125 percent interest
and 25-year amortization. The loan-to-value is 70 percent.
Marcus & Millichap brokers of record in this transaction are: Timothy A.
Speck, first vice president and regional manager, Texas; John Przybyla,
first vice president, managing broker, Illinois; J.D. Parker, senior
vice president investments and district manager, New York; Michael L.
Glass, first vice president and regional manager, Ohio; and Raj Ravi,
regional manager, South Carolina.
About Marcus & Millichap (NYSE:MMI)
With over 1,500 investment professionals located throughout the
United States and Canada, Marcus & Millichap is a leading specialist in
commercial real estate investment sales, financing, research and
advisory services. Founded in 1971, the firm closed over 7,600
transactions in 2014 with a value of approximately $33.1 billion. The
company has perfected a powerful system for marketing properties that
combines investment specialization, local market expertise, the
industry’s most comprehensive research, state-of-the-art technology, and
relationships with the largest pool of qualified investors. To learn
more, please visit: www.MarcusMillichap.com
About Marcus & Millichap Capital Corporation (MMCC):
MMCC is a subsidiary of Marcus & Millichap (NYSE:MMI), a leading
commercial real estate investment services firm with offices throughout
the United States and Canada. Through its network of national, regional
and local lenders, MMCC provides capital markets products for a wide
variety of investment properties, including apartments, shopping
centers, office buildings, industrial facilities, single-tenant
net-lease properties, seniors housing, hotels/motels, manufactured home
communities and self-storage facilities. In 2014, MMCC closed more than
1,300 commercial real estate financing transactions. To learn more,
please visit: www.mmCapCorp.com
View source version on businesswire.com: http://www.businesswire.com/news/home/20160108005899/en/
Copyright Business Wire 2016