Local Family Trust’s Off-Market Offer Wins Take 5 Oil Change Portfolio in Woodlands

December 13, 2021


HOUSTON – A local family trust has closed an off-market transaction for a Take 5 Oil Change portfolio in its backyard, The Woodlands, banking two deeds with an all-cash offer in a 15-day spin.

The net-leased projects are located in the heart of the city – 4450 Woodlands Parkway and 7940 Research Forest Dr. The buildings, each 1,900 sf, are secured by corporately guaranteed absolute NNN ground leases with 10 years remaining on the term and four five-year renewal options.

“This portfolio was a rare acquisition opportunity. You almost never see assets in Woodlands’ core available for purchase,” says Marc Peeler, vice president of Houston-based NewQuest Properties. He represented the seller, Edry B&I-2 GP, who developed the projects in 2016.

Rick Ragan, an associate with NewQuest Properties, represented the buyer, who deployed 1031 Exchange funds to make the close. “A 15-day closing is unheard of. Everything that was needed was in place, including due diligence,” he says, “and we were able to fulfill the 1031 requirement in their own backyard.”

Both hard-corner sites are deemed irreplaceable tracts of land – 0.69 acres at the Woodlands Parkway-West Panther Creek Drive intersection and 1.06 acres at the junction of Research Forest Drive and Kuykendahl Road. The properties are located 4.5 miles apart. The shared five-mile trade area boasts a population of nearly 185,000, of which 32.7% earn at least $150,000 per year.

“These locations don’t get any more prominent than this,” Peeler stresses. “They should hold their value for years to come.”

Since its debut in 1974, The Woodlands has grown from a vision by oil entrepreneur and philanthropist George Mitchell into one of the most acclaimed master-planned sustainable communities in the nation. Under the stewardship of the Howard Hughes Corp., The Woodlands is now home to nearly 2,200 businesses and corporations, including seven Fortune 500 headquarters.

Take 5 Oil Change, headquartered in Metairie, LA, is the leading fast-lube chain on the Gulf Coast, with more than 500 units in 11 states. The company started in 2004 with 13 locations.

For other NewQuest Properties investment sales opportunities here.

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