Westwood Net Lease Advisors President, Chris Schellin, recently helped a past client of 10 years close on both the his downleg and upleg within a 30 day time span. The downleg was a Carl’s Jr located in Tempe AZ that came with some unique challenges. The prior franchisee had gone bankrupt last year creating uncertainty and the existing store sales were below average. After an aggressive marketing campaign that consisted of national advertising, mass emails, and direct prospecting Westwood was able to locate a private 1031 buyer though an unaffiliated broker. Once under contract the deal closed in 21 days.
Due to the client’s 1031 time constraints Westwood immediately pursued a suitable replacement property and was able to identify a new construction Freddy’s Steak-burgers in Waco TX. The store had very high sales and a rent/sales ratio that was in line with the market. Moreover the property came with a new 15 year NNN lease and personal guarantee form the operators. This transaction marked the 5th fast food property that Westwood was able to sell to this private California investor