Intersection Completes 1031 Exchange for Long-Term NNN Lease
Intersection represented South Lind Square, LLC in the 1031 exchange which resulted in the purchase of the Safeway at La Toscana Village in Tucson, Arizona for $10,750,000. Intersection Managing Director Mark Hoekstra and Senior Director Rob Kerr represented the buyer, Greg Cortese of The Royston Group represented the seller.
The 46,798 square-foot retail property is located at 7110 N. Oracle Road, Tucson, AZ 85704. The retail center is situated in a densely populated, affluent and developing area of Tucson. The Safeway building is one of 14 that comprise La Toscana Village, which is anchored by national retail tenants, and located at a heavily trafficked intersection at N. Oracle Road and W. Ina Road.
Originally built in 1992 and renovated in 2014, 7110 N. Oracle Road is 100% occupied by Safeway in a 20-year NNN lease with options and regular base rent increases.
The property was part of the buyer’s upleg for their 1031 exchange, acquired at a 5.2% cap rate. The lease was corporately guaranteed by Albertsons Companies. Financing for the transaction was provided by 40/86 Mortgage Capital with the assistance of Charlie Robinson of NorthMarq.
Intersection was approached by the buyer to identify 1031 exchange opportunities that would provide both a high-quality and safe investment for the family that met their long-term goals, requirements, and criteria.
“The process involved the thorough evaluation of numerous properties of all types across a diverse range of desired geographic locations nationwide,” said Kerr. “In the end we were able to identify a number of great options that met requirements, and the client settled on this excellent Safeway investment in Tucson.”
Emily Bane is the Marketing Coordinator at Intersection, providing strategic marketing expertise to support business objectives across company divisions. Contact Emily at 619-819-8725 or [email protected]