Pilot Travel Center in Birmingham Drives a $9M Sale-Leaseback
Stan Johnson Company has completed the sale-leaseback of a Pilot Travel Center on Bankhead Highway West in Birmingham, AL. The 9,790-square-foot convenience store sold for approximately $9.4 million reflecting a 7.0 percent cap rate.
Matt Lipson and Mike Philbin of Stan Johnson Company represented the buyer, Brodersen Management Corporation. The seller was Acworth, GA-based Mountain Express Oil Company.
“The tenant was purchasing a location from Pilot and rather than use traditional business financing, they found a real estate buyer to help fund the acquisition,” said Lipson. “Since you have to merge an asset purchase agreement with the purchase and sale agreement to ensure a simultaneous close, structuring a sale leaseback to fund an M&A is slightly more challenging than a typical net lease transaction.”
The property was originally built in 1995 and includes a Wendy’s quick service restaurant on-site. The 7.4-acre parcel is located just north of Interstate 20 at a signalized intersection.
- ◦Lease
- ◦Sale/Acquisition
- ◦Financing