Carlsbad, NM – May 28, 2024 – Faris Lee Investments is pleased to announce the sale of R.Greenleaf, located in Carlsbad, NM, for $1.942 million. This is the 3rd STNL R.Greenleaf sale in the State of New Mexico in the past 15 months for Faris Lee Investments. The other 2 locations included: Clovis & Ruidoso. The transaction further highlighted Faris Lee's commitment to delivering proven results for its clients in the retail investment sector.
Jeff Conover, Managing Principal; Scott DeYoung, Senior Managing Director; and Greg Lukosky, Director, leveraged their expertise and market knowledge to orchestrate a seamless transaction that met the strategic objectives of the seller and the buyer. Pegasus Group NM, Anthony Johnson & AJ Johnson assisted with the sale.
The deal features a corporate guaranteed lease with Medicine Man Tech Inc. (SCHWAZZE) and includes a new 10-year NNN lease with 15% rent increases every 5 years, highlighting the strategic location of the property in Carlsbad, NM, near the Texas border.
Despite challenges such as an older building with some deferred maintenance, a tertiary location in Carlsbad, NM, and the fact that cannabis sales are not federally approved, the Faris Lee team executed a robust marketing strategy. They targeted 1031 Exchange buyers in the Southwest, positioned the property as easily manageable with strategic trade area demographics, and emphasized the strength of New Mexico cannabis sales, with over $27 million in excise taxes brought into the state since legalization was implemented.
The results speak for themselves: Faris Lee Investments successfully procured a 1031 Exchange buyer from Arizona and closed the transaction with an all-cash buyer, achieving a price per square foot of $296.
Commenting on the transaction, Jeff Conover, Managing Principal at Faris Lee Investments, stated, "We are thrilled to have facilitated the sale of R.Greenleaf in Carlsbad, NM, and to have delivered exceptional value to our client. This transaction underscores our deep expertise in the retail commercial real estate sector and our ability to navigate complex market dynamics to achieve optimal outcomes for our clients."
About Faris Lee Investments:
Faris Lee Investments is one of the leading retail investments firms in the US and is one of the original firms specializing in retail investment sales throughout the country. Faris Lee combines underwriting and market research that exceeds industry standards with a custom strategy to maximize values for their clients’ .The firm also serves as high level investment advisors in the areas of dispositions, acquisitions & recapitalizations as well as, distressed asset disposition, portfolio sales, and corporate sale-leaseback. For more information, visit www.farislee.com