HONOLULU -- Island Energy Services LLC has completed the sale of the land and buildings at 11 gas stations on Oahu to Fergus & Co., a Honolulu-based real-estate investment company. The parties entered into a sale-leaseback transaction in which Fergus & Co. purchased the fee-simple interest in the land and buildings at the stations and leased the properties back to Island Energy Services in a long-term lease.
There will be no effect to employees, customers, retailers or to the operations of the Texaco stations as a result of this transaction, the companies said. The companies did not make the terms of the transaction public. Realtor Trent Thoms of CBRE, Honolulu, represented Island Energy Services in the transaction.
"The completion of this transaction will allow the continued and long-term operation of our Texaco-branded service stations, while making additional capital available to reinvest locally to serve our goal of growing a premier energy business in Hawaii," said Jon Mauer, president and CEO of Island Energy Services, Kapolei, Hawaii.
“As a company that is celebrating its one-year anniversary, the sale demonstrates that we remain committed to investing in Hawaii and continuing to serve our valued customers’ energy needs,” he said.
“The acquisition fits well with our company’s strategy of acquiring well-positioned properties around the state,” said Alex Fergus, partner, Fergus & Co., Honolulu.
In November 2016, Island Energy Services completed the acquisition of Chevron USA Inc.’s refining, distribution and retail assets located in Hawaii. Approximately 80% of the stations have recently undergone renovations and transitioned from Chevron with Techron to Texaco with Techron.
Island Energy Services is the official licensee of the Texaco brand in Hawaii. Through its wholly owned affiliates IES Downstream LLC and IES Retail LLC, Island Energy Services operates assets including a refinery, interest in a network of 56 Texaco gas stations statewide, four product distribution terminals and related logistical assets.
Members help make our journalism possible. Become a CSP member today and unlock exclusive benefits, including unlimited access to all of our content. Sign up here.