FARMINGTON HILLS, Mich. -- Agree Realty Corp. has announced that it has acquired a portfolio of three Wawa convenience and fuel stores. The stores are located in Clifton Heights, Pa., Newark, Del., and Vineland, N.J., and are master leased by Wawa.
The base term of the master lease has approximately 9.5 years remaining. The cost of the portfolio acquisition was approximately $14.2 million including the assumption of $8.58 million of nonrecourse mortgage debt. The assumed debt matures in June 2016 and carries a 6.56% interest rate.
"We are extremely pleased to add these three assets to our portfolio," said Joey Agree, president and chief operating officer. "This strategic acquisition provides the company with a unique opportunity to further our relationship with Wawa in the Mid-Atlantic while continuing to partner in Wawa's Florida expansion as a preferred developer."
Agree Realty was named a Florida development partner for Wawa in May. It closed on a corner property in Osceola County. Wawa has executed a long-term ground lease to operate a convenience store with fuel at that location.
Additionally, the company and Wawa have entered into two additional ground lease agreements on sites in central Florida.
"[Wawa's] pioneering approach to the convenience store and fuel station experience will offer Floridians additional choices and varieties that they have never had," said Agree. "We look forward to continuing to work with Wawa in acquiring and developing sites to assist in their expansion."
Wawa, Pa.-based Wawa Inc. is an industry leader in the convenience and fuel store space and one of the country's largest private companies, operating approximately 600 stores in Pennsylvania, New Jersey, Delaware, Maryland, Virginia and most recently announcing their expansion into the state of Florida.
(See Related Content below for previous CSP Daily News coverage.)
Farmington Hills, Mich.-based Agree Realty is a fully integrated, self-administered and self-managed real-estate investment trust (REIT) focused on the development and acquisition of single-tenant net-lease retail properties throughout the United States. Its portfolio of industry leading retailers consists of 90 properties, located in 24 states and containing approximately 3.4 million square feet of gross leasable space. Retail partners include Walgreens, McDonalds, JP Morgan Chase, PNC and Wawa, among others.