Royston Group Lists Best Buy-Anchored Net Lease Property
- Aug 01, 2012
The Royston Group has listed for sale a 45,687-square-foot single-tenant net lease retail box leased to electronics juggernaut Best Buy.
The building, constructed in 1999, sits on five acres of land and is leased to Best Buy on an absolute triple net lease basis for 20 years.
The Royston Group, a provider of services for a multitude of net lease commercial property types including office, industrial, retail and medical, has completed over $1.5 billion in real estate sales since its inception in 1992.
Rob Sutton and Greg Cortese of The Royston Group have already begun the marketing process. The site sits next to a 1.3 million-square-foot mall owned by Regency and is surrounded by major retail players such as Target, Lowe’s and Home Depot amongst others. The property is encumbered by a loan which will likely be assumed by any potential buyer.
“This site is located on a main retail location and has a triple net lease guaranteed by Best Buy for another eight years. This strong retail location combined with the triple net lease and the income tax advantages in Florida present this property as a great investment for a savvy buyer ” said Vice President of Investment Sales Rob Sutton.
Interest in retail properties in the Jacksonville metro area is high. A market report released by Marcus & Millichap for the second quarter of 2012 says institutional investors are very active in the market, and they’re looking for premium assets. Single-tenant transaction velocity rose 31 percent in the past four quarters, after declining 13 percent during the prior year. The median price of assets sold year over year through the first quarter is up 85 percent, to $307 per square foot, due to the growing demand for high-quality properties.