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Developer Hawks 70,874-SF Academy Store

HOUSTON-The appetite for net-leased assets is the impetus behind the decision to sell rather than refinance the one-year-old store. The bidding war for the Academy Sports store, with a 20-year lease, most likely brought $60 per sf to $75 per sf.

By Jennifer Brenner Andrade | Updated on March 12, 2004

HOUSTON-A private investor from Houston has beat out more than 20 other competitors to buy a 70,874-sf Academy Sports & Outdoors store, with a 20-year lease in place, in northwest Houston.

Rusty Tamyln, principal in Houston for Dallas-based Trammell Crow Co., tells GlobeSt.com that the seller, Read King of Houston considered refinancing and the one-year-old building at 19720 Northwest Freeway and then decided to take advantage of the favorable investment sales climate. The net-leased marketplace produced a bidding war for a six-acre asset, assessed at $3.9 million, which came to market without a minimum ask.

The seller’s brokers are mum about the final price due to a strict a confidentiality clause, but David Butler, principal and director in the Houston office of Colliers International, says an Academy Sports, net-leased property would likely sell for $60 per sf to $75 per sf. He says the figure is partly based on Academy’s historic practice of keeping rents between $6.50 per sf and $8 per sf.

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