New Jersey investor buys Christian Brothers building

BUYER: The Massa Design & Building Co. 2007-2011 RT. 35 Wall LLC (principal: Gabe Messa), Neptune, N.J.
SELLER: CBH Properties Tampa II LLC
PROPERTY: 20303 Trout Creek Drive, Tampa
PRICE: $2.33 million
PREVIOUS PRICE: $650,000, May 2012
LAW FIRM ON DEED: Christian Brothers Automotive Corp., Houston

PLANS, DESCRIPTION: An acquisition entity led by Gabe Messa of Neptune, N.J., purchased a 4,921-square-foot automotive repair facility for $2.33 million.

The price equated to $472 per square foot. That figure is higher than the two-year average price per square foot for retail space ($146) in the Tampa Bay area, according to the CoStar Group.

The year-old building is leased to Christian Brothers Automotive - Wesley Chapel in a 15-year lease. Houston-based Christian Brothers Automotive Corp. is responsible for all maintenance, property taxes and insurance for the property. Based on its current net operating income of $171,100, the purchase price equates to a payoff ratio (capitalization rate) of 7.4%.

Jason Vitorino of Marcus & Millichap's Dallas office represented Christian Brothers Automotive and is selling a number of its other stores across the country. According to Vitorino, the sales are essentially sale-lease back transactions that give Christian Brothers Automotive more working capital.

Christian Brothers Automotive, which leases its stores to its franchisees, has more than 100 locations across the United States. As of Aug. 6, it had an additional 35 stores under development.

The purchase entity The Massa Design & Building Co. 2007-2011 RT. 35 Wall LLC mortgaged the property to TD Bank NA for $1.63 million.