Matthews Real Estate Investment Services represented a client in a 1031 Exchange in which the buyer acquired 1151 E. Midway Road in Menasha, Wisconsin. The $5.15 million transaction was brokered by associate Edward DeSimone, first vice president Josh Bishop and market leader Maxx Bauman.
The Midwest property is home to the U.S. supermarket chain Piggly Wiggly and popular discount retailer Dollar Tree, which proved to be resilient during and post COVID-19. Because of their essential-business nature, Piggly Wiggly and Dollar Tree are considered valuable and stable investments.
The buyer was motivated to acquire the facility to relocate its investment portfolio into a better market and achieve a longer-term lease. The buyer successfully exchanged out of a four-property Dollar General portfolio to receive a 20 percent cash flow increase, 121 percent weighted average lease term increase and maintained a corporate guaranteed lease with the Menasha acquisition.
“This sale was an absolute homerun for our client,” DeSimone said. “We substantially increased our client’s position in almost every metric possible and are beyond excited at the outcome for our buyer.”
During the 1031 Exchange process, Matthews’ brokers leveraged the firm’s comprehensive database and marketing tools to receive broad exposure for the client’s Dollar General portfolio. This made it possible to close with the first buyer sourced. From there, Matthews™ investigated various exchange property options and found an investment that fits all the investor’s criteria.