Built by the owner and operator in 1983, the industrial property is located off Bake Parkway with direct access to two major interstates, which boast 61,000 and 350,000 vehicles per day. The owner was looking to sell the property to access equity to invest in various residential assets. The biggest challenge was achieving a high price per square foot while sustaining the property’s incredibly low cap rate. The tenant was also paying 30 percent below market rent, with 12 years remaining on the lease.
The diligent effort demonstrated by Matthews™, paired with the use of Matthews™ proprietary technology and national reach, won over the owner as a client against competing local brokerages. The buyer was looking for a property with security and to maintain cashflow. The property’s neighbor placed an offer before listing, but due to Matthews™ evaluation that brought the asset up to market value, they were able to generate competition with multiple offers from across the country.
The Matthews™ team was successful in accomplishing the goals of both parties through constant communication. The deal was transacted within a timely manner as the property closed with the first buyer brought to escrow. The seller received $600k over offer price, up to nearly $3.4 million and accomplished a record-breaking cap rate of 4.04%. The owner also achieved the equity he needed to fulfill his future investment goals after reaching the desired price per square foot, and the buyer locked in a tenant with a long-term lease.
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