Thursday, March 15, 2007

Academy Sports Completes $102 Million Sale Leaseback of HQ in TX

CoStar Group - March 13, 2007

In a sale/leaseback, Academy Sports and Outdoors sold its 1.5 million-square-foot headquarters and distribution center at 1800 N Mason Rd in Katy, Texas to an affiliate of The Cole Cos. for $102 million or approximately $67 per square foot.

Academy leased back the 93-acre property under a 20-year triple-net lease reportedly worth $102 million. Cole funded the acquisition, which was made on the part of its Cole Credit Property Trust II investment fund, using proceeds from its ongoing public offering and $68.3 million loan from Bear Stearns Commercial Mortgage, Inc.

Under its lease, Academy will pay an initial annual base rent of $7,038,000 which increases each year, including during renewal terms, by 1.5% of the then current annual base rent. The initial term of the lease expires January 31, 2027. Academy has eight options to renew the lease, each for an additional five-year term beginning on February 1, 2027.

The Stan Johnson Company of Tulsa, OK represented Academy Sports in the sale/leaseback transaction. Academy is a sporting goods retailer, operating over 80 stores across the southeastern United States. Sphere: Related Content

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