Fix Auto Lacey - Single Tenant Investment

Property Overview

Fix Auto Lacey is a 17,273 SF single-tenant industrial property located at 512 Devoe Street SE in Lacey, Washington. Built in 1994 with masonry construction, the purpose-built auto repair facility includes six rollup doors and vehicle repair bays, situated on a 1.25-acre lot. The property is 100% leased to Fix Auto under a triple net lease with annual CPI rent bumps and two five-year renewal options. The lease is personally guaranteed by the franchisee, who operates six Fix Auto locations across the Pacific Northwest.

Challenge

Our team was engaged to sell a single-tenant net-leased industrial property on behalf of the seller, who was the former owner of both the business and the real estate and had elected to sell the real estate separately. The asking price of $2,850,000 reflected the strength of the lease structure and the quality of the underlying asset, and our assignment was to identify a qualified buyer capable of closing at a price that met the seller's expectations.

Action

We marketed the property as an on-market investment offering, targeting buyers seeking passive, net-leased industrial assets. The investment highlights we emphasized included the long-term NNN lease with built-in annual rent bumps, the personal guarantee from an experienced multi-unit franchisee, and the property's position in Thurston County, a market with consistent population growth and strong commercial activity along the Interstate 5 corridor between Seattle and Portland. We identified a buyer completing a 1031 exchange, whose timeline and investment objectives aligned well with the asset's profile.

Result

• Sale price of $2,675,000, or $155 per SF
• Buyer completed the acquisition as part of a 1031 exchange
• 100% occupancy at close with a long-term NNN lease in place, including annual CPI rent increases and two five-year renewal options
• Lease personally guaranteed by a franchisee operating six locations in the Pacific Northwest