The number of for-sale properties are understandable--thecreditmarket has forced more owners to put their properties on themarket,either because they were unable to get refinancing or are inadistressed situation.

|

A shift in prices, as well as cap rates that have dropped byabout 30to 50 basis points depending on whether it is a single ormultitenant, is responsible for the change in demand, Snell tellsGlobeSt.com. The change has been dramatic in some submarkets, hesays. "We had several Walgreens inside DC and in Alexandria, VAthat had been sitting on the market for about a year." Theserecently sold, he adds.

|

Kirk Knight and Snell recently listed a McDonald's ground leaseinRockville, MD for $2.3 million--a rarity as McDonald's usuallybuys up the few net leased properties it doesn't already own, Snellsays. Encompassing 3,657 square feet, the fast food outlet wasdeveloped in1998. Snell says he expects several full priced offersfrom both 1031Exchange and cash buyers.

Want to continue reading?
Become a Free ALM Digital Reader.

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications
NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.