BROKER FINDS UNIQUE BUYER FOR REMOTE LOW TRAFFIC RETAIL CENTER
BACKGROUND:
A restaurant operator purchased a 14,000 SF strip center for the purpose of opening a restaurant. Owning and operating a retail center investment was a secondary afterthought. In addition to the restaurant, owner leased two units, but was unsuccessful in leasing 26% of first-generation space. After selling the restaurant, ownership desired to exit from the shopping center.
CHALLENGE:
If location, location, location are the three most important words in real estate, this center had none of them. Located 5 miles off the interstate on a remote rural road, the center, an adjacent gas station, and truck supply store are miles from other retail commercial real estate. The center was self-managed by the restaurateur owner who had not engaged professionals to assist with leasing, accounting, legal or management. Ownership asked for JGRE’s expertise in selling the center. Investment Sales specialist, Ben Pargman accepted the challenged after receiving the client’s understanding that patience would be required.
RESULT:
Patience was rewarded and a unique buyer was identified who saw the opportunity in the vacant first-generation space. The ultimate sales price was exactly what Ben suggested would be obtainable with patience and time.
