JACKSONVILLE, Fla. — Matthews Real Estate Investment Services™, a commercial real estate investment services and technology firm, completed the portfolio sale of two CarwashU locations, according to a press release.
The sites are located at 6929 103rd St. in Jacksonville and 950 Park Ave. in Orange Park, Florida.
The transaction was structured as a business sale with a simultaneous sale-leaseback to a third party.
This allowed the business buyer to reduce the amount of capital required to purchase the operations.
Senior Associate Beryl Grant and Associate Vice President Clay Smith managed the sale.
Matthews™ represented the seller, a private Jacksonville carwash operator, who was interested in capitalizing on the high price points in the current market.
The seller aimed to close prior to 2022 to avoid the repercussions of possible tax policy change.
During the sale of the property, agents orchestrated a simultaneous sale-leaseback.
“This transaction was extremely unique in that it was a tri-party agreement,” Grant says. “The sale-leaseback structure allowed the buyer to bypass paying the full purchase price for both the business and land by partnering with a third party to buy the real estate while they moved forward with acquiring the business.”
The buyer, Magnolia Holdings, purchased the carwash investments to further expand their portfolio in the Jacksonville MSA, a market the company already has a strong presence in.
The real estate company received two high-functioning facilities in an established market, allowing for a smooth transition of ownership.
“We had a firm deadline to close and three parties involved throughout the process,” Smith said. “By utilizing our carwash expertise and extensive network we were able to source qualified buyers, navigate complexities and close on time for our client.”
