Northmarq, one of commercial real estate’s leading investment sales brokerage firms, has completed the sale of a multi-tenant property portfolio leased to Child Development Schools, Inc., the seventh largest early education and childcare provider in the country. The five properties are located in the cities of Wilson, Kenly, Benson, Garner and Selma, North Carolina and total 31,421 square feet. Milo Spector represented the seller, a private investor based in Wilson, North Carolina. The Raleigh-based buyer acquired the properties for approximately $5.7 million.
“This is a unique transaction due to the size of the portfolio and the low price point comparatively to other early education portfolios of its size,” said Spector, Director in Northmarq’s Walnut Creek, California office. “This transaction demonstrated the value of diversification that is desired by investors who don’t necessarily have $10+ million to spend. The small portfolio space is a very unique space that allows smaller investors to still accomplish these diversification goals.”
The established tenant, Child Development Schools, Inc., was founded in 1988 with over 200 locations. All five properties are located within 45 miles of downtown Raleigh, one of the fastest growing cities in the country. Each asset operates on a triple net lease.
“There was a lot of demand for this portfolio, and we were able to source multiple offers, but ended up securing a local buyer, demonstrating our company’s ability to reach both national and regional buyers,” added Spector.