SALT LAKE CITY -- Sinclair Oil Corp. has put 27 of its stations up for sale in eight statesColorado, Iowa, Kansas, Minnesota, Missouri, Montana, Nebraska and Wyoming.
The sale represents a bit of a strategy shift compared to previous asset sales for the low-profile oil company, which is looking to recapitalizegetting some of its money out of its real estate and investing it back into the company, as well as putting the sites into the hands of good dealers, Phil Boyd, managing director of The Energy Exchange, which has been retained to handle the sale, [image-nocss] told CSP Daily News.
The stations involved in this sealed-bid sale are being offered with a 10-year Sinclair branding and fuel supply agreement, or for alternative use with a petroleum deed restriction.
Some of the sites will have to be upgradedSinclair is going to want newer MPDs [multi-pump dispensers], card readers, canopies and new imaging, he said.
This is a great opportunity for an owner operator to walk into an established business with a strong brand to support them, said Boyd. These stations are on some great corners, and the right operator with vision can take these to next level. We expect this sale to generate a high level of interest from prospective operators as well as retail developers due to fact that many of these sites are high-traffic locations.
He also told CSP Daily News, It's a great opportunity, especially in the Missouri market, if someone is looking to become a Sinclair distributorthat opportunity may arise, especially when you have five stores in St. Louis, five in Kansas City. Someone comes ina smaller guy with five stores of his ownthis is an opportunity to become his own distributor.
Concerning the prospect of more such sales, however, Boyd said, at this time, it's kind of a one-shot deal for the Salt Lake City-based oil company.
There are more than 3,250 Sinclair-branded locations in 23 states.
Bidders may bid on one, some, or all of the stores. The bid deadline is May 9. To obtain a list of the stores and questions concerning the sale, contact The Energy Exchange, Chicago, at (866) 906-7499 or visit www.energy-xchange.com. The Energy Exchange is a commercial real estate firm specializing in gas station and convenience stores.
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