Matthews™ Closes One of the Nation’s Highest-Priced CVS Transactions at $13.6 Million

NASHVILLE, TN—Matthews™, a commercial real estate investment services and technology firm, represented the buyer and the seller in the disposition of a CVS located at 3715 Hillsboro Pike in Nashville, TN. The transaction marked the second-highest sale price for a CVS sold in the United States within the last year. Matthews™ Senior Vice President & Senior Director Clay Smith represented the seller, and Associate Vice President Ben Burnett represented the buyer.

Situated in the Green Hills market, the property occupies a prominent corner lot adjacent to The Mall at Green Hills, Nashville’s premier shopping destination, serving one of the city’s most affluent trade areas with an average household income exceeding $225,000 within a three-mile radius. Leased to CVS Pharmacy under a 20-year absolute NNN lease with a corporate guaranty from CVS Health, the asset provides investors with long-term income security backed by one of the nation’s largest pharmacy operators.

The seller, Five Star Development, Inc., a merchant developer, brought the property to market following the asset’s lease-up and monetization, seeking to redeploy capital into future projects. Leveraging deep industry relationships, the buyer, a local 1031 exchange buyer and trusted repeat client, was attracted to the asset’s long-term passive income in a high barrier-to-entry market.

During due diligence, Matthews™ coordinated with a separate ownership entity of the site’s adjacent parcel to secure the necessary approvals required to close the transaction, while also navigating an active construction timeline and a planned roadway realignment that will add approximately 0.37 acres of parking to the overall site. To facilitate the upleg, Matthews™ Capital Markets secured non-recourse financing at 70% loan-to-value with a 25-year amortization and 5-year fixed-rate term. Through consistent communication and collaboration between all parties, the transaction closed, achieving favorable terms and pricing for the seller while meeting the buyer’s 1031 upleg identification deadline.

“Green Hills is one of the most coveted retail markets in the country, and assets of this caliber simply don’t come available often. This was a complex deal with a lot of moving parts, but that’s where Matthews thrives,” Burnett said. “The collaboration between investment sales, capital markets, and transaction management enabled us to swiftly navigate every potential challenge and deliver successful outcomes for the buyer and seller.”

For more information, please contact Clay Smith, Ben Burnett or visit www.matthews.com.

About Matthews™

Matthews™, a commercial real estate investment services and technology firm, holds recognition as an industry leader in investment sales, leasing, and debt and structured finance. Based out of Nashville, TN, and strategically positioned with over 1,000 agents and employees in 30 offices across the United States, Matthews™ continues to focus on expansion into new markets. For more information, please visit www.matthews.com.