Single-Tenant Retail Asset Changes Hands in NM

By Beata Lorincz

1905 N. Prince St.

AAG Management has acquired a 43,484-square-foot, single-tenant retail property on the New Mexico/Texas border, in Clovis, N.M. Albertsons grocery store leases the asset. JLL’ s Capital Markets team oversaw the $9 million transaction.

Located at 1905 N. Prince St., the property is part of a larger retail, shopping and entertainment center. Routes 84 and 70 are a five-minute drive of the property, while Santa Rosa, N.M. and Interstate 49 are roughly 100 miles northwest.

Executive Vice President Matt Berres of JLL worked on behalf of the seller. “This offering represented an exceptional opportunity to acquire a property with strong store sales and limited competition from like-kind retailers in the immediate area at an attractive going-in yield,” said Berres, in a prepared statement. “The asset is operating under an absolute NNN lease with zero landlord responsibilities and over 12 years of primary term. It also benefits from 10 percent rental increases every five years and six five-year option periods.”

In May 2017, another company invested 30 miles north of Clovis. Pattern Energy Group Inc. acquired interest in the 324-megawatt Broadview Wind power facilities. The deal involved $215 million in cash and an assumed project loan of $54 million.

Image courtesy of JLL