Mavis Net Lease Activity Highlights a Growing Divide in Pricing

The Mavis net lease market has seen a steady flow of new inventory and transactions in recent months, with new-construction sale-leasebacks accounting for much of the activity. Between June and September 2026, 16 properties traded at an average cap rate of 5.90%, with the strongest interest concentrated in the Carolinas and other high-growth markets.

While newer properties with long-term leases are attracting competitive offers, older locations and those with shorter lease terms have had a more difficult time finding buyers. The difference is becoming more apparent in both asking cap rates and the length of time properties remain on the market.

Lease Terms Are Influencing Pricing

New-construction sale-leasebacks remain a large part of Mavis inventory, with many offering 20-year lease terms. These properties are generally priced more aggressively, particularly in Florida, Texas, and the Carolinas, where investor demand has remained strong.

Among properties currently marketed, those offering 20-year leases have an average cap rate of approximately 5.60%. Properties with fewer than 15 years remaining average 6.31%, with several carrying less than 10 years of lease term.

That difference of roughly 70 basis points has not been enough to move every shorter-term property. Several have spent extended periods on the market, prompting sellers to adjust pricing. Listings in Cedartown, Georgia; Richmond Hill, Georgia; and Montgomeryville, Pennsylvania, have all seen cap rate increases as sellers work to attract buyers.

The Carolinas Account for Most Recent Sales

North Carolina and South Carolina represented 10 of the 16 Mavis transactions recorded between June and September. Much of that activity involved newer properties with long-term leases, a combination that has been particularly attractive to buyers.

Only two of the 16 properties sold with lease terms below 15 years, both located in Huntsville, Alabama. The remaining transactions were concentrated in properties offering longer income commitments.

High Point, North Carolina, has been one of the more competitive markets. One Mavis property sold at a 5.88% cap rate, while another was under contract after being listed at 5.85%. Both transactions reflect the pricing buyers have been willing to consider for well-located properties with longer lease terms.

Rental Rates Are Becoming Harder to Overlook

Lease length remains an important part of the investment decision, but rental rates deserve just as much attention. A property may offer 15 or 20 years of scheduled income, yet the strength of that lease ultimately depends on the tenant’s ability to support the rent.

In Shorewood, Illinois, a Mavis property was listed at a 7.25% cap rate with annual rent of approximately $296,836. It carried the highest advertised cap rate among the tracked listings, raising questions about how investors are evaluating higher rental obligations.

Another Mavis location, which had been marketed for more than 400 days with annual rent of $225,620, recently closed permanently. The property had been removed from the Mavis website, leaving ownership with a vacant asset to market.

Situations like this can be particularly challenging for owners who purchased properties based on long-term rental income. If the tenant leaves, the property’s value becomes more dependent on its location, condition, market rent, and ability to attract another operator. Owners may also need to consider whether a rent adjustment could help preserve a tenancy rather than face the costs associated with vacancy.

Opportunities Beyond New-Construction Assets

New-construction sale-leasebacks have received much of the attention, but they are not the only properties attracting buyers. Existing locations with shorter lease terms and higher cap rates can offer an alternative for investors focused on current cash flow.

Financing remains part of that discussion, with retail borrowing costs in the mid-6% range. For buyers using debt, the relationship between financing costs and acquisition cap rates can make lower-yielding properties more difficult to underwrite.

A recent Express Oil Change & Tire Engineers transaction in Oklahoma City provides one example of the opportunities available outside new-construction inventory. The property traded at a 7.65% cap rate and was occupied by an operator generating more than $2 million in annual sales.

Mavis transaction activity through September shows that buyers remain active, although pricing varies considerably depending on the property. Longer leases and newer construction have generally attracted the tightest cap rates, while shorter lease terms, higher rents, and property-specific concerns have created a wider range of pricing across available inventory.

For owners considering a sale and investors evaluating acquisitions, understanding those differences will be important as the market moves through the remainder of 2026.