The roughly 10-year-old stores have lease terms remaining of nine to 11 years, and no competition in the area, says Jordan Muchnick with Marcus & Millichap Real Estate Investment Services. He was joined on the deal by Brad Nathanson, Erin Wiles and Scott Wiles.
"The seller is a developer of Rite-Aids, and we have sold several drug stores for them in the past," Muchnick tells GlobeSt.com. he says that most of the new Rite Aid stores are trading at a low 7s cap rate, but that he was able to get a 7.7% cap rate, or $165 per sf, for this portfolio. "Given the uncertainty in the current capital markets, buyers and lenders are becoming more sensitive to how deals are written," he says. "We had multiple list price offers, and we were able to pinpoint a correct buyer within a couple months."
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