A Texas real estate investment firm closed a deal on Dec. 29 to purchase a high-profile commercial development on College Avenue in Fayetteville.
City Center North LLC paid $9 million for the 11.2-acre Lewis Ford property at 3373 N. College Ave. The family-owned dealership, doing business for more than 75 years, will continue to operate under a lease agreement with the new owner.
Cushman & Wakefield/Sage Partners in Rogers announced the deal in a news release. The new owner has plans to develop the property with multiple uses, but those plans are not imminent.
“The location of this property makes this opportunity special,” said Zach Hocker, a Sage Partners broker who represented the new ownership group. “We are extremely excited about this transaction and the opportunity for my client to serve as landlord to such a great institution like Lewis Ford. We are also excited to unlock development potential when the time comes. It was a win-win for both the buyer and seller.”
Matt Lewis, vice president of Lewis Ford Sales Inc., said the timing was right for the sale-leaseback partnership.
“We are excited for the next step in continuing our family business in Northwest Arkansas,” Lewis said. “This transaction is a win-win for both parties. It helps us to focus on our future location and creates an opportunity for our current location to be redeveloped.”
Little Rock-based Encore Bank provided financing. Jeff Pederson with Lindsey & Associates in Fayetteville represented Lewis Ford.
“It has been a great honor representing the Lewis family in this transaction,” Pederson said. “The Lewises have served this community for over three generations at the College Avenue location. I think it’s commendable that they are taking steps to ensure they can continue serving the Fayetteville community for many generations to come in a way that conforms to and supports the direction of growth this community has shown they desire.”
According to the release, City Center North focuses on triple-net single-tenant assets and mixed-use developments.
“We are so pleased to announce our entry into the Northwest Arkansas real estate market and honored to be leasing this premium property to a local and trusted name like Lewis Ford,” said Roselle Williams, a representative for City Center North.