Hanley Investment Group Sells Single-Tenant Just Brakes Store and Sets National Record Cap Rate
January 30, 2017 – Hanley Investment Group, a nationally-recognized real estate brokerage and advisory firm specializing in retail property sales, announced today that the firm completed the sale of a single-tenant Just Brakes store in Dallas, Texas.
Executive Vice President Eric Wohl, along with Hanley Investment Group’s Associates Austin Blodgett and Andrew Cunningham, set a new national record cap rate representing both the buyer, a private investor based in Austin, Texas, and the seller, a private development firm based in Chicago, Illinois, in the sale of a single-tenant Just Brakes store located at 6530 North Central Expressway in Dallas. The 3,377-square-foot store, built in 1964 and remodeled in 2014, is situated on .21 acres, near Southern Methodist University.
According to Wohl, the property had an eight-year absolute NNN lease with a corporate guarantee and strong increases every five years. “The property benefits from close proximity to Southern Methodist University with 11,500 students and the George Bush Presidential Library with 340,000 annual visitors.”
Wohl continues, “The property also features excellent pylon visibility from 320,000 cars per day on I-75 freeway and 18,000 cars per day at the intersection of North Central Expressway and University Boulevard. The property also benefits from population in excess of 388,000 people in the five-mile trade area and average household income of more than $104,000 within a one-mile radius. “This sale highlights the strong appetite investors have for quality net-lease properties in primary US markets,” said Wohl.
Just Brakes was recently acquired by Pep Boys, the Philadelphia-based auto parts and repair company led by investor Carl Icahn. The acquisition increases the Pep Boys store count to over 900 locations. Prior to the acquisition, Just Brakes was the largest privately-owned brake specialty repair company in North America with 134 location in 14 major markets, Wohl reports. In a statement published by Pep Boys, Just Brakes locations will be converted into Pep Boys Service & Tire Centers, offering a full range of services, such as oil changes, tire installations, brake repair and suspension work.