News:
Brokerage
Posted: September 8, 2020
Tuccillo of Marcus & Millichap reps seller in $9.75 million Walgreens sale
Wappingers Falls, NY Marcus & Millichap, a leading commercial real estate brokerage firm specializing in investment sales, financing, research and advisory services, completed the sale of 1575 U.S. Rte. 9, according to John Krueger, regional manager and vice president of the firm’s Manhattan and White Plains offices. The NNN site, which is occupied by a corporately guaranteed Walgreens, sold for $9.75 million.
The seller, Long Island-based Heights of Main LLC, was exclusively secured by Michael Tuccillo of the firm’s Manhattan office. The buyer, Ital Food Distributors, was secured by Philip Biancavilla of Berkshire Hathaway.
Regarding the transaction, Tuccillo said, “This was a rare opportunity to acquire a trophy property in a premier market on a corporately-backed lease with minimal landlord responsibility.”
Located on U.S.Rte. 9, Wagreens sees an average of 45,000 vehicles per day, and was able to retain strong interest due to the pharmacy’s strong sales and long lease throughout COVID-19. The Walgreens’ desirability and success at market reflects a trend in the commercial real estate industry: The rise of smaller markets.
According to Marcus & Millichap Research Services’ July 2020 Special Report on Population Mobility, 60% of all major trades now occur outside of primary metros, a 20% decline since the beginning of the century. Tuccillo said, “This Walgreens also traded at a 5.7% cap; these deals typically trade closer to 5.85%. We were able to outperform the market here, and a high desire for NNN properties certainly contributed here.”
The Walgreens’ desirability and success at market reflects a trend in the commercial real estate industry: the rise of smaller markets.
Tags:
Brokerage
MORE FROM Brokerage
REALM, DelShah Capital and A.M. Properties acquire 377,000 s/f CitySpire office condominium
Manhattan, NY REALM, in partnership with DelShah Capital and A.M. Properties, acquired CitySpire, a 377,000 s/f office condominium comprising 24 floors within the 70-story tower at 156 W 56th St. in Midtown. Adjacent to Central Park with transit access and amenities, CitySpire is a Class A office asset located in one of the city’s most sought-after office corridors.
Quick Hits
Columns and Thought Leadership
Tri-state capital migrates nationally amid regulation pressure - by Reese Weaver
New York tri-state multifamily investors are increasingly reallocating capital to less-regulated markets across the U.S. as rent control and legislative risk erode returns at home. With over 60% of New York City’s rental housing stock classified as rent-stabilized, the traditional value-add model — buying under-performing buildings,
A fresh start - by Shallini Mehra and Amit Doshi
For the past several years, the New York City multifamily housing market has been defined by disruption. The combined impact of the HSTPA rent laws and a sharply higher interest rate environment has fundamentally reduced
The anticipated effect of Basel III and ISO 20022 implementation on commercial real estate - by Michael Zysman
July 1, 2025 is the deadline for US banks to begin to adopt Basel III banking standards and July 14, 2025 is the deadline for U.S. banks to adopt ISO 20022 messaging standards. Both will have a significant effect on the banking and commercial real estate (CRE) finance sectors.
The death of the generic offering memorandum: What buyers expect in 2025 - by Kimberly Zar Bloorian
There was a time when an offering memorandum (OM) was pretty bare bones, some photos, a few bullet points on income, and a rent roll thrown in at the back. That used to get the job done. Not anymore. In 2025, buyers are sharper, faster, and more selective. They’re looking