20901 Devonshire St. Chatsworth, CA 91311
Tenant had 4 years remaining on 25 year term reducing market valuation to a 6.5% CAP rate and increasing perception of risk when going to market.
Tenant rent at $620,000/year was grossly over market demanding a purchase price 40% above average drug store price points.
Through teams experience with drug store ownership, development and tenant relations team aided sellers in negotiating an additional 6 years of term with seller contribution resulting in 10 years of term extension.
With high volume marketing and deep insight into tenants performance and operations the team was able to procure several offers maximizing value. As a result a sale was facilitated at significant returns for seller preserving their equity appreciation by being able to command a market CAP rate.