Consolidated Tomoka Land Acquires CVS Ground Lease in Dallas
- Sep 27, 2016
Dallas—In an approximately $14.9 million deal, Consolidated Tomoka Land Co. has acquired 0.91 acres at 2501 N. Field St. in Dallas.
The land is leased to CVS Pharmacy Inc. for an initial term of 25 years and guaranteed by CVS Health Corp. The property is improved with a 10,340-square-foot building which was developed and paid for by CVS. The zoning of the site allows for potential future development density of approximately 400,000 square feet of commercial space.
Located in an area with intense retail activity, the building offers quick access to Interstate 35 and Route 366 and is just a short drive from American Airlines Center and Victory Station.
“The initial yield for this acquisition is below our cap rate guidance, however, the Property is a core infill location in Victory Park, a high growth submarket of uptown Dallas, which is undergoing intensive development of high-rise construction which should bode well for higher density redevelopment of this parcel in the future,” John Albright, president & CEO of Consolidated-Tomoka Land Co., said in prepared remarks.
The acquisition was part of a 1031 exchange utilizing proceeds from the company’s recent disposition of a portfolio of 14 income properties. With this transaction, Consolidated-Tomoka Land has completed approximately $40.6 million in acquisitions thus far this year.
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