"Given the current environment, where there's a lack ofliquidity in the marketplace, we're in a good situation. There arenot a lot of all-cash buyers currently in the market," Cole chiefmarketing officer John Towle tells GlobeSt.com. "This provides uswith more negotiation room." In addition, because of the capitalconstrained environment, the REIT's investors benefit from beingable to buy properties at "historically discounted prices," Towleadds.

According to a June 29 filing with the Securities and ExchangeCommission, the REIT, CCPT III, paid $10.93 million for a portfolioof eight Aaron Rents retail properties totaling 103,041 squarefeet. They were leased back under a 15-year master lease agreement,plus four five-year renewal options. Initial annual base rent isslightly more than $909,000, with 10% increases every fiveyears.

CCPT III also acquired four Academy Sports stores, eachmeasuring 86,000 square feet of rentable space, for a totalpurchase price of $34.4 million. "The buildings are brand new,which definitely makes it appealing, the leases are 20 years andthe credit quality is high," Towle says. The SEC filing notes thatthe Academy Sports leases have four five-year renewal options andthat the combined base annual rent is more than $2.94 million.

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