Global Partners LP has entered into an agreement with a institutional real estate investor for the sale and leaseback of 33 gasoline stations and convenience stores for approximately $67 million. The retail sites, which are located throughout New England, will be sold to the buyer and leased to Global Partners or its subsidiaries for a period of 15 years with contractual extension options for 20 additional years. The deal is expected to close no later than the third-quarter of 2016.
Global Partners is a midstream logistics and marketing company that owns or controls one of the largest terminal networks of petroleum products and renewable fuels in the Northeast. The company is one of the largest independent owners, suppliers and operators of gasoline stations and convenience stores with approximately 1,500 locations. Global is recognized as No. 180 in the Fortune 500 list of America’s largest corporations.
“Consistent with our objective of providing additional liquidity for the Partnership, we expect to use the material proceeds generated from this transaction to reduce debt and provide financial flexibility to reinvest in and expand our businesses. This sale leaseback is part of a strategy we shared with investors earlier this year to optimize our assets, in this instance unlocking the value in some of our fee-owned real estate and productively deploying the capital,” said Eric Slifka, president and CEO of Global Partners.
