December 17, 2012 by The Sacramento Business Journal
A Walgreens in Sacramento and a Rite Aid in Woodland have been sold to a Northern California family trust for more than $16 million in 1031 exchange transactions.
Ryan Bennett of Lee & Associates in Carlsbad represented the sellers, which were a private investment firm and a developer respectively. The largest of the two transactions was the $9.2 million purchase of the 17,272-square-foot Walgreens outlet at 1420 Meadowville Road.
Built in 2011, there is 24 years remaining on the initial 25-year lease. The cap rate was 5.25 percent.
“That cap rate has to be close to market setting,” Bennett said.
The 17,272 square foot Rite Aid at 295 West Main Street in Woodland sold for $7.1 million. Built in 2009, about 17 years remain on the 20-year lease.