Virginia Beach, VA-based Armada Hoffler has disposed of two single-tenant assets leased to Costco and Home Depot located in Durham, NC for a combined $24 million.

Alex Sharrin, Alex Geanakos and Michael Roberts of JLL represented Amarda Hoffler, which sold the 148,663-square-foot Costco property for $11.4 million and the 120,000-square-foot Home Depot property for $12.5 million.

According to the company, the 4.0% exit capitalization rate represents a substantial improvement over the its 4.5% goal.

“Despite recent market volatility, investor demand for high credit, single-tenant, net leased assets with longer lease terms remains strong,” said Lou Haddad, president and CEO of Armada Hoffler. “After securing early long-term lease extensions with both tenants, we capitalized on this demand and successfully transacted at a price that far exceeded our expectations.”