Avison Young’s U.S. Net Lease Group negotiates sale of REI Coop camping store for more than $20 million
January 11, 2023
The Tysons location is one of REI’s top producers
WASHINGTON, DC — Avison Young’s U.S. Capital Markets team announced today that it has negotiated the sale of a single tenant net-leased property occupied by REI Coop (REI) for $20.4 million at a 6.9% cap rate. The property is located at 8209 Watson Street in Tysons, VA. The 32,857-square-foot (sf) stand-alone retail building sold to an institutional buyer headquartered in Dallas, TX. The seller is Qualified Opportunity Fund, LLC, whose commercial investments are primarily based in the Mid-Atlantic.
The seller was represented by an Avison Young U.S. Net Lease Group led by Jonathan Hipp, Principal, Richard Murphy, Senior Vice President, and Timothy Farrell, Associate, all based out of the Washington, DC Metro area.
“With the short-term lease, we were surprised at the level of activity, but it is a true testament to the quality tenant and the dynamics of the Tysons area market,” commented Hipp. “We had to navigate changing market conditions along the way but in the end, an institutional investor was selected and proved to be an excellent buyer,” stated Hipp.
The REI Coop’s location served to be an attractive investment highlight, given the ongoing interest in the Tysons, VA retail hub and multi-family development currently underway. This asset is located in Fairfax County which consistently ranks among the top five wealthiest counties in the nation and has a household income of nearly 2.5x that of the U.S. average. With over 5.5 million sf of retail space and annual sales of more than three billion dollars, Tysons remains the go-to market for high-quality retailers looking to grow and expand in the DC market. This REI store serves as a corporate top producer, being among the top sales performers in the chain.
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