Includes the sale and leaseback of 17 properties from State Oil in the Chicago market.
CrossAmerica Partners LP has completed the previously-announced transaction with a leading institutional real estate investor for the sale and leaseback of properties acquired as part of the State Oil acquisition for net proceeds of approximately $25 million.
CrossAmerica acquired the State Oil assets on Sept. 27, 2016 for $41.8 million, which included a total of 56 fee properties and 60 million gallons of annual fuel supply.
In connection with the sale, CrossAmerica entered into a lease agreement with a 6.5% capitalization rate under which it will lease 17 properties in the Chicago market for an initial period of 15 years with an additional 15 years of renewal options. The proceeds from the transaction will be used to reduce debt under the Partnership’s revolving credit agreement.