Marcus & Millichap Closes 31 Property Net Lease Portfolio for $88.5 Million
Marcus & Millichap (NYSE:MMI) has announced the successful sale of a 31-property net lease portfolio for $88.5 million. The portfolio consists of properties anchored by Town Fair Tire across seven northeastern states. The properties were sold from the estate of Town Fair Tire's founder, Neil Mellen, to Orion Buying Corp.
The portfolio features identical absolute net leases with 16-year remaining terms, five-year rent increases, and parent guarantees. The properties are located in prime locations with high sales volumes across Connecticut, Massachusetts, New Hampshire, Maine, New York, Rhode Island, and Vermont.
Marcus & Millichap (NYSE:MMI) ha annunciato la vendita riuscita di un portafoglio di 31 proprietà in leasing netto per 88,5 milioni di dollari. Il portafoglio consiste di proprietà ancorate da Town Fair Tire in sette stati del nord-est. Le proprietà sono state vendute dall'eredità del fondatore di Town Fair Tire, Neil Mellen, a Orion Buying Corp.
Il portafoglio presenta contratti di leasing netto assoluto identici con 16 anni di termini rimanenti, aumenti di affitto ogni cinque anni e garanzie dei genitori. Le proprietà si trovano in posizioni primarie con elevati volumi di vendita in Connecticut, Massachusetts, New Hampshire, Maine, New York, Rhode Island e Vermont.
Marcus & Millichap (NYSE:MMI) ha anunciado la exitosa venta de un portafolio de 31 propiedades en alquiler neto por $88.5 millones. El portafolio consta de propiedades ancladas por Town Fair Tire en siete estados del noreste. Las propiedades fueron vendidas de la herencia del fundador de Town Fair Tire, Neil Mellen, a Orion Buying Corp.
El portafolio cuenta con arrendamientos netos absolutos idénticos con 16 años restantes, aumentos de renta cada cinco años y garantías de los padres. Las propiedades están ubicadas en lugares privilegiados con altos volúmenes de ventas en Connecticut, Massachusetts, New Hampshire, Maine, Nueva York, Rhode Island y Vermont.
마커스 앤 밀리챕 (NYSE:MMI)는 8,850만 달러에 31개 부동산 넷 리스 포트폴리오의 성공적인 판매를 발표했습니다. 이 포트폴리오는 타운 페어 타이어에 의해 지원되는 부동산들로 이루어져 있으며, 북동부 7개 주에 걸쳐 있습니다. 이 부동산들은 타운 페어 타이어의 창립자인 닐 멜렌의 유산에서 오리온 바잉 코프(Orion Buying Corp.)에게 판매되었습니다.
이 포트폴리오는 남은 임대 기간 16년, 5년마다 임대료 인상, 그리고 부모 보증이 있는 동일한 절대 넷 리스 계약을 특징으로 합니다. 이 부동산들은 코네티컷, 매사추세츠, 뉴햄프셔, 메인, 뉴욕, 로드아일랜드, 버몬트의 판매량이 많은 주요 위치에 있습니다.
Marcus & Millichap (NYSE:MMI) a annoncé la vente réussie d'un portefeuille de 31 propriétés en location nette pour 88,5 millions de dollars. Le portefeuille est composé de propriétés ancrées par Town Fair Tire dans sept états du nord-est. Les propriétés ont été vendues par l'héritage du fondateur de Town Fair Tire, Neil Mellen, à Orion Buying Corp.
Le portefeuille présente des baux nets absolus identiques avec des termes restants de 16 ans, des augmentations de loyer tous les cinq ans, et des garanties parentales. Les propriétés sont situées dans des emplacements de premier choix avec des volumes de ventes élevés à travers le Connecticut, le Massachusetts, le New Hampshire, le Maine, l'État de New York, le Rhode Island et le Vermont.
Marcus & Millichap (NYSE:MMI) hat den erfolgreichen Verkauf eines 31-Objekte-Netto-Leasing-Portfolios für 88,5 Millionen Dollar bekannt gegeben. Das Portfolio besteht aus Immobilien, die von Town Fair Tire in sieben nordöstlichen Bundesstaaten getragen werden. Die Immobilien wurden aus dem Nachlass des Gründers von Town Fair Tire, Neil Mellen, an Orion Buying Corp. verkauft.
Das Portfolio bietet identische absolute Nettomietverträge mit 16 verbleibenden Jahren, fünfjährigen Mieterhöhungen und Elterngarantien. Die Immobilien befinden sich an erstklassigen Standorten mit hohen Verkaufsvolumina in Connecticut, Massachusetts, New Hampshire, Maine, New York, Rhode Island und Vermont.
- Successful completion of large $88.5M portfolio transaction
- Properties have long-term leases with 16 years remaining
- Built-in revenue growth with rent increases every 5 years
- Strong tenant guarantees and prime locations with high sales volumes
- None.
Insights
This
The absolute net lease structure, combined with parent company guarantees, positions this as a premium investment grade portfolio. The properties' origins in the founder's personal holdings suggest prime locations with proven performance metrics, typically commanding higher-than-average sales volumes. The geographic diversification across seven Northeast states provides natural risk mitigation while maintaining operational efficiency through regional concentration.
For Marcus & Millichap, this transaction represents approximately
The transaction's structure offers valuable insights into current institutional investor preferences. Orion Buying Corp's acquisition demonstrates continued strong appetite for well-positioned net lease retail portfolios with reliable tenants, even amid broader market uncertainties. The portfolio's characteristics - long-term leases, scheduled rent increases and parent guarantees - align perfectly with defensive investment strategies seeking stable, inflation-hedged income streams.
The deal timing is particularly strategic given recent market dynamics. With interest rates potentially stabilizing and property values adjusting, institutional buyers are selectively returning to the market for quality assets. The portfolio's focus on the automotive service sector, which typically shows resilience during economic fluctuations, adds another layer of investment appeal. The per-property average price of approximately
Marcus & Millichap senior managing director James Koury and senior associate Alex Quinn, in association with Dan Plotkin of Northeast Retail, exclusively represented the estate of Town Fair Tire’s founder, Neil Mellen. Koury and Quinn also procured the buyer, Orion Buying Corp.
“The portfolio consists of identical, absolute net leases with Town Fair Tire, the Northeast’s dominant retailer of tires and wheels,” said Quinn. “All locations have 16-year terms remaining, rent increases every five years and are backstopped with parent guarantees. Since the sites were sold from the founder’s personal portfolio, they tend to be in the best locations with the highest sales volumes.”
“We are honored to have advised and executed the sale on behalf of Neil Mellen’s estate,” said Koury. “It was a privilege to represent his legacy in the auto retail industry.”
The properties are in
About Marcus & Millichap, Inc. (NYSE: MMI)
Marcus & Millichap, Inc. is a leading brokerage firm specializing in commercial real estate investment sales, financing, research and advisory services with offices throughout
View source version on businesswire.com: https://www.businesswire.com/news/home/20241223910642/en/
Gina Relva, VP of Public Relations
Gina.Relva@MarcusMillichap.com
Source: Marcus & Millichap, Inc.
FAQ
How much was the Town Fair Tire portfolio sold for by Marcus & Millichap (MMI)?
How many properties were included in the MMI Town Fair Tire portfolio sale?
What are the lease terms for the Town Fair Tire properties in the MMI portfolio sale?
In which states are the Town Fair Tire properties from the MMI portfolio located?
Who was the buyer of the MMI Town Fair Tire portfolio?
