September 17, 2019 – Avison Young, the world’s fastest-growing commercial real estate services firm, announced today that it has brokered the sale of an 800-square-foot (sf) single-tenant retail building fully leased to Rally’s Restaurant located at 1520 North Shadeland Avenue in Indianapolis, IN.
Rally’s Restaurant operates and franchises Rally’s restaurants, which serve a locally relevant menu of quality food and beverages throughout the country.
Avison Young Principals Chris Maling and David Maling, who are both based in the company’s downtown Los Angeles office, represented the seller, a California-based family office. The buyer, a Texas-based private equity-group, was represented by C.S. Silver Company and was sourced by Avison Young’s listing team by marketing to single-tenant owners nationally.
The asset was sold at an 11% cap rate, as it was delivered vacant at the close of escrow. Rally’s has slightly less than seven years remaining on the corporate guaranteed lease and has plans to renovate and reopen the restaurant in the near future.
“Indianapolis is a thriving metropolitan area and we secured a number of offers from investors seeking favorable cash-on-cash returns,” comments Chris Maling.
Situated on just over 0.8 acres of land, the property was built in 1996 and is well-located on a major commercial corridor with immediate access to interstate highways 70 and 465. The property is surrounded by other national retailers, including CVS Pharmacy, Wendy’s, McDonald’s and Starbucks.