Looking to sell gas station/land on 3.25 acres in Texas
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[{"id": "j0httw2", "text": "Sending you a PM.", "replies": [], "depth": 1}, {"id": "j0i8fei", "text": "I was just reading that Shell is buying up gas stations recently", "replies": [], "depth": 1}, {"id": "j0iy0vt", "text": "Sending a PM.", "replies": [], "depth": 1}, {"id": "j0j6zh2", "text": "Why not go look for a national credit gas station tenant. Assuming what you say is accurate about it being a viable gas station/food store then it should be easy to find one. Have them go a long term ground lease and let them rebuild the property. At that point you'd increase the value so much you could cash out for more than you could sell it for and have the lease payback the debt. Then you can take the cash and invest in what you want while still having the additional assets and cash flow.", "replies": [{"id": "j0l4yzg", "text": "Just so I understand this correctly:\n1. landlord packages rent to property as a loan to the tenant.\n2. The tenant will provide CF as loan repayment + interest and will rebuild the property as an NNN. \n\nWhy wouldn't the credit tenant just buy the property with credit and do the development themselves? Sounds like a bad deal for them at the end of it. Maybe I'm missing something...\n\nEDIT: from seeing this thread it's probably because of market competition.", "replies": [{"id": "j0l5nkc", "text": "From my experience most chains prefer not to own or hold a loan on a property.", "replies": [{"id": "j0l6p1s", "text": "Why is this the case? Assuming liquidity, and growth (higher NPV on cash for commerce over rent)? \n\nI'm thinking of McDonald's as an example against this.", "replies": [{"id": "j0ldz7t", "text": "McDonalds is an outlier as it has the size and capital to outright buy property and it is actually part of its business model. Expansion is hampered by the capital requirement for owning real estate. Imagine having to pay 2x - 3x every time you wanted to open a new location. A typical Starbucks build out costs anywhere from 1.5 - 3 mil if you add real estate costs to that you can see why leases become attractive.", "replies": [{"id": "j0lp0xw", "text": "Yes makes sense, thanks", "replies": [], "depth": 6}], "depth": 5}], "depth": 4}], "depth": 3}, {"id": "j0l7564", "text": "Most large national tenants don't want to own property and the tax benefits they get from owning the leasehold improvements but ground leasing the land are better than if they owned the property. They can expense the ground lease payment and depreciate the improvement but if they purchase the land they can only depreciate the improvement not the value of the land itself.", "replies": [{"id": "j0l8w14", "text": "That's for the detailed answer. It makes sense now", "replies": [], "depth": 4}], "depth": 3}], "depth": 2}, {"id": "j109k5s", "text": "It\u2019s rare a user will ground lease a site w existing improvements.  Maybe I suck at my job, but I\u2019ve never talked a CEO into accepting this risk.  A developer or big GC usually takes the risk of demoing the existing improvements and preparing the site for delivery.  Gas station, bank, fast food\u2014any single tenant ground lease will require LL to deliver site w X amount of utilities, soil compaction, environmental clearances, zoning approvals, sign rights, TIFF, Pilots, etc.    I think it\u2019s a brilliant idea to ground lease and then sell, but it\u2019s not easily done.  Esp if u have environmental issues in play.  Talk to a pro.  Trust your instincts, if u get a bad vibe from a broker, immediately bail.  We are a dime a dozen, and all pretty much should be doing the same thing.  If the broker doesn\u2019t make u comfortable and immediately impress you, offer u free help, just move on.  There\u2019s tons of us, and you\u2019ll find a good one.  \n\nI\u2019d love to know what offers you\u2019ve received!", "replies": [], "depth": 2}], "depth": 1}, {"id": "j0jcw22", "text": "Your USTs are permitted and operable?", "replies": [{"id": "j0jefuu", "text": "Yes they are. There\u2019s a 20,000 gallon 3 compartment tank. It was installed around 10 years ago.", "replies": [], "depth": 2}], "depth": 1}, {"id": "j0ji0li", "text": "I\u2019m interested in buying operational gas stations in Texas. 210-288-4266", "replies": [], "depth": 1}, {"id": "j0l07cj", "text": "Ring up Buc-ee\u2019s baby!", "replies": [{"id": "j0mk1gt", "text": "Already 2 on that route", "replies": [], "depth": 2}], "depth": 1}, {"id": "j0m9ohw", "text": "A fair amount of successful gas station sales on Ten-x.com lately. You should take a look at the website.", "replies": [], "depth": 1}, {"id": "j0n625w", "text": "Are you willing to pay a fee to a buyer rep? I could put multiple buyers on a gas station hard corner, today.", "replies": [], "depth": 1}]