A single-tenant retail property leased to Walgreens in West Palm Beach has been acquired by the Pines Group in a $5.9 million transaction. Acquired from AMCO Properties, the asset is located at 6591 Forest Hill Boulevard. The sale included a 1.19-acre outparcel to Woodbridge Plaza, which rests at the northwest corner of Forest Hill Boulevard and Jog Road. The parcel is subject to a long-term absolute net ground lease to Walgreens, which recently relocated from its 30-year inline operation at a shopping center across the street from Woodbridge. The recently constructed 14,550 sqf pharmacy with drive-thru lanes opened for business in March 2014. CBRE’s Investment Properties group managed the sale on behalf of AMCO.
“Demand for long-term, investment-grade, single-tenant investment properties remains very strong, especially in primary markets such as Southeast Florida,” said David Donnellan, Senior Vice President with CBRE. “This particular Walgreens had rental escalations during the lease term, somewhat unique as compared to most other Walgreens leases where rent is generally fixed with no escalations. This further enhanced investor demand and drove strong pricing for our client.”
