The Landes Group Acquired 8 Retail Properties in Recent Months Collectively Valued at More than $12 Million.
The Landes Group, a privately held real estate investment firm based in Dallas, acquired 8 retail properties in recent months collectively valued at more than $12 million. The portfolio of single-tenant properties is a combination of generational and leasehold assets spanning 6 states, primarily along the east coast.
“We recognize there is a high risk associated with these zero cash flow deals; that is why there are only a handful of buyers like us in the market right now,” said Caleb Landes, Senior Investment Advisor for The Landes Group. “Our unique understanding of the complicated debt structure combined with our ability to maximize the value of such assets is the foundation of our acquisition strategy.”
The Landes Group Founder and CEO Brett Landes is credited with creating the complex debt structure that allows this type of portfolio to be profitable.
Brett adds, “Whether we are buying into a partnership or buying the ground of a leasehold interest, the debt structures we implement provide confidence that we can overcome the inherent risk, and we are aggressively looking for more deals like the ones we’ve recently closed across the country.”
Leveraging recent deals, the company is positioned to purchase additional properties that may have been inherited in an industry outside of a beneficiary’s expertise.
Caleb explains, “We frequently see second generation owners sitting on a property they do not understand. Once terms come due on the lease, it is typically in their best interest to sell and cash out. We, on the other hand, understand these assets from a debt service perspective, giving us the ability to weave them into our portfolio. Our relationships within the industry also give us the opportunity to backfill the space with a new tenant, if necessary.”
About The Landes Group
The Landes Group is a Dallas-based privately held real estate investment firm focused on assisting corporate real estate users and investors optimize the economics of their real estate portfolios. The firm specializes in yield optimization through innovative debt and lease restructures, sale-leaseback transactions, re-tenanting opportunities and 1031/1033 tax-deferred exchanges. Since 2006, the firm, along with its affiliates, has closed more than $16 billion in transactions which have been entirely focused on single tenant leased assets, resulting in solid, long-term relationships with multiple Fortune 500 companies.