About the Investment
While working through a sale for an Absolute NNN Ground Lease involving Valvoline, our team represented the Seller and was able to secure a full price offer from a buyer that closed on the transaction in a total of 12 days from execution of the PSA.
Challenges
- Cross easement for water and sewer in place with adjoining parcel that was not being sold as a part of the deal.
- Changing macroeconomic conditions affecting cap rates
- Location being serviced via city owned curb cut that split off to our deal and a Firestone Tire shop.
Solutions
- Remediate concerns to potential buyers by acquiring written letters from Tenant and outside owner expressing zero potential for exercising the use of the easement.
- Locating 1031 buyers that are paying all cash and are therefore not as likely to consider rising cost of capital.
- Showing traffic studies for Firestone via Placer AI and mitigating concerns of congestion for entry into the Valvoline shop.
