Kidder Mathews’ Walseth Net Leased Investments Team has completed the sale of a single-tenant, freestanding retail property occupied by Walgreens at 8942 W. Sam Houston Parkway N. in Houston, Texas. Walgreens has been operating at this location since 2000 and recently signed a new, 15-year, triple-net lease extension that is corporate guaranteed.
Michael Walseth, executive vice president, and Justin Bergman of the Walseth Net Leased Investments Team represented the seller, a Chicago-based developer and investor. The buyer was a California-based investor in a 1031 exchange and was represented by Joshua Berger of Kidder Mathews.
“Pharma product continues to be a sought after retail category as investors have gravitated towards retailers offering essential services during the pandemic. In particular, Walgreens net leased investments have performed exceptionally well with uninterrupted rent payments and complete execution of its tenant obligations throughout the pandemic,” said Walseth. “This asset drew great interest from investors due to its strong operational history, a new corporate absolute-net lease, and its proximity to affluent neighborhoods and the popular Sam Houston retail corridor,” he said.
The 15,048 square foot building is situated on approximately 1.82 acres and located at the intersection of West Sam Houston Parkway N. and West Road just east of the Texas State Highway Beltway 8. Beltway 8, the Sam Houston Parkway, is an 88-mile regional beltway serving Houston. The immediate trade area features numerous national retailers, including LA Fitness, Kroger Food & Pharmacy, McDonald’s, Starbucks, Chick-fil-A, among others.
“Texas along with Florida and Nevada are among the most popular states for investors moving capital from California due to the absence of state income tax and filing requirements. This trend will continue and likely accelerate into the future,” said Walseth.
The Walseth Net Leased Investments Team has a 30-year industry track record and more than $3.3 billion in transaction credits.
About Kidder Mathews
Kidder Mathews is the largest independently owned commercial real estate firm on the West Coast, with 900 real estate professionals and staff in 21 offices in Washington, Oregon, California, Nevada, and Arizona. Kidder Mathews offers a complete range of brokerage, appraisal, property management, consulting, project & construction management, and debt & equity finance services for all property types. The firm performs $8 billion in transactions, manages over 70 million square feet of space, and conducts over 1,800 appraisals annually. For more information, visit kidder.com.