Herndon, VA – Calkain Companies’ Andrew Fallon, Executive Managing Director, recently represented the seller of the Chick-fil-A in Winchester, VA. The ground lease property, located in the Rutherford Crossing Shopping Center anchored by Target and Lowe’s, is subject to a long-term ground lease with favorable terms and structured rent escalations. Fallon sold the Chick-fil-A ground lease for $3,000,000, a 4.12% Cap Rate, to a 1031 exchange cash buyer. This sale marks the lowest Chick-fil-A cap rate in Virginia. Fallon commented, “Our marketing efforts attracted multiple bids and we were able to identify and select the right buyer for the property.”
In August 2012, Fallon represented the same client during the acquisition of the property, when they purchased this Chick-fil-A for $2,250,000 at a 5.25% cap rate. Within the last three years the asset appreciated by $750,000 as a result of a rent bump and the market’s cap rate compression.
We continue to see strong executions at aggressive cap rates. This sale, at a 4.12% cap rate, is just another example of the demand we see for well positioned net lease assets,” continued Fallon.
Andrew Fallon has over $75 million worth of net lease properties available. Please contact Andrew directly for more information about this transaction and the current market for single-tenant net lease assets.
Calkain Companies is a commercial real estate brokerage firm which specializes in assisting buyers and sellers with single and multi-tenant net leased properties through all aspects of the transaction including advisory, brokerage, debt placement, equity placement, asset management and research. Calkain has multiple office locations servicing the Mid-Atlantic, Southeast and Northeast markets. Additional information about the firm and listings may be found at www.calkain.com.