Faris Lee Completes Sale of LA Fitness-Occupied Properties
Faris Lee Investments, the retail-specialized investment advisory firm based in Irvine, California, completed the $36 million sale of a four-property retail portfolio.
Totaling 186,052 square feet, the portfolio’s assets are each fully occupied by LA Fitness, with three properties in Kentucky and one in Tennessee. Faris Lee represented both the buyer, Arizona-based STORE Capital, a real estate investment trust, and the seller, a Kentucky-based private entity.
The deal was complex, according to Richard Chichester, president and CEO of Faris Lee Investments. The firm created a break-up strategy for one of the assets by separating it through a legal agreement from the rest of the retail center in which it was located.
Faris Lee also uncovered over $3 million in additional value by conducting lease audits of each property to identify areas where net operating income could be increased, according to the firm.