Stan Johnson Company, one of commercial real estate’s leading investment sales brokerage firms, has completed the sale of a 10-building quick service restaurant portfolio fully leased to Taco Bueno. The portfolio totaled 25,643 square feet, and the properties were located across Oklahoma and Texas. The seller, U.S. Realty Advisors LLC, was a private equity group based in New York. They were represented by Josh Pardue of Stan Johnson Company. The buyer was Centric Capital Partners, a Dallas, Texas-based developer. The portfolio traded for $13.7 million reflecting a 7.22 percent cap rate.
“This transaction had a few nuances – explaining the transition from bankruptcy to new ownership, working through a restaurant sale during the pandemic, as well as understanding how to effectively market small cap credits to achieve top pricing,” said Pardue, Senior Director in Stan Johnson Company’s New York office. “The tenancy was recently acquired by a leading operator, Sun Holdings Inc., which was attractive to the buyer. With drive-thru properties being in demand, not to mention the largely Texas-based locations, we saw strong interest from institutions, regional buyers, and private investors alike.”
Sun Holdings Inc. acquired Taco Bueno in 2019 to revitalize and grow the brand, and with over 23 years of restaurant experience, the company has built an expansive franchise network with 11 brands across 800 locations and 12 states.