DALLAS, TX – Faris Lee Investments is pleased to announce the successful closing of the sale of Princeton Plaza, a newly constructed, 100% occupied retail center located in Princeton, Texas (DFW MSA).
The property sold to a private local investor at an initial capitalization rate of 6.088%. Nick Miller and Shaun Riley of Faris Lee Investments exclusively represented the buyer, a local investor making their first acquisition in the commercial real estate sector.
Despite the buyer being new to commercial investment, the transaction was executed efficiently, closing in just 68 days, with the buyer securing a 50% Loan-to-Value (LTV) loan.
Princeton Plaza is a 2023-built, Class "A" asset. It boasts a significant Net Operating Income (NOI) backed by long-term NNN leases. The property offers significant value-add potential, as the current average rent is estimated to be 25-30% below market rate for new product on the US 380 corridor, setting the stage for substantial future rental growth through built-in escalations and Fair Market Value (FMV) options.
"This transaction is a testament to our team's ability to guide first-time investors through complex commercial acquisitions," said Nick Miller, Director at Faris Lee Investments.
Shaun Riley added, "We successfully navigated a challenging due diligence period, which included an unaddressed risk of a pending TxDOT taking, to deliver a high-quality, stable asset in one of the nation's fastest-growing submarkets. Securing this below-market asset for our client ensures exceptional long-term growth potential”.
The property’s strategic location on the US 380 corridor capitalizes on the massive population and economic expansion of the DFW Metroplex. This positioning ensures strong traffic counts and future co-tenancy with major retailers coming to the adjacent 500,000 SF Princeton Town Center development, securing upside in one of the fastest-growing U.S. cities, with population up 30% over the past year.
About Faris Lee Investments:
Faris Lee Investments is one of the nation’s leading retail investment advisory firms, and among the first to operate under a unified, team-oriented platform. The company combines advanced underwriting, market research, and creative marketing strategies designed to maximize client value. Faris Lee provides advisory services across dispositions, acquisitions, recapitalizations, distressed asset resolutions, portfolio sales, and corporate sale-leaseback transactions.
For more information, visit www.farislee.com