Pharma Property Group Closes $21,000,000 Portfolio of Zero Cash Flow CVS Properties with Rent Holidays
Pharma Property Group is pleased to announce the sale of three CVS stores located in the greater Los Angeles area totaling 68,860 square feet. Nick Price, Senior Vice President and Jason Pongsrikul, Managing Principal brokered the transaction.
“This transaction was extremely complex with in place zero cash flow financing on three CVS locations that were inline anchors to larger shopping centers. The debt was defeased at closing and the buyer received a credit for the 3-year rent holiday towards the back end of the primary lease terms,” explained Jason Pongsrikul, Managing Broker of Pharma Property Group.
“These properties were listed by another firm for the better part of 2018 and did not sell. I think Pharma Property Group’s experience in drugstore transactions and more in particular with CVS zero cash flow transactions allowed us to get the job done when other brokerage firms failed in the past. The buyer was a California based 1031 investor who was represented by an outside broker and they secured new amortizing debt on the properties after the current debt was retired. Pharma Property Group is now in the process of representing the seller in securing new 1031 replacement properties that cash flow without rent holidays,“ stated Mr. Pongsrikul.
Based in San Diego, California, Pharma Property Group (www.pharmapropertygroup.com) was founded in 2012 by Jason Stuart Pongsrikul who has closed over $1 Billion in net leased commercial properties throughout the country during the last decade.
Pharma Property Group (PPG) specializes in providing commercial real estate services to landlords who own properties occupied by Walgreens, CVS and Rite Aid. Pharma Property Group is now one of the top brokerage firms in the country in drugstore property closing volume and has an unparalleled drugstore marketing platform providing access to the largest pool of drugstore landlords in the nation.
Pharma Property Group
5322 Banks Street
San Diego, CA 92110
Office: (619) 297-0055