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- 🏪 7-Eleven to Acquire 204 Sunoco Stores, Including Stripes and Laredo Taco Company Restaurants
🏪 7-Eleven to Acquire 204 Sunoco Stores, Including Stripes and Laredo Taco Company Restaurants
7-Eleven Expands its Footprint with Acquisition of Sunoco LP Stores
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7-Eleven Expands its Footprint with Acquisition of Sunoco LP Stores
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SLURPEE SPREE
7-Eleven Expands its Footprint with Acquisition of Sunoco LP Stores (Read More)
7-Eleven, Inc.
7-Eleven Expands: Convenience store giant 7-Eleven is set to acquire 204 stores from Sunoco LP, including Stripes convenience stores and Laredo Taco Company restaurants, for approximately $1 billion.
Deal Details: The stores being acquired are located in West Texas, New Mexico, and Oklahoma, and will join the 13,000+ locations already operated by 7-Eleven in the US and Canada.
CEO's Statement: Joe DePinto, CEO of 7-Eleven, expressed excitement about welcoming the remaining Stripes stores and Laredo Taco Company restaurants to the family and serving more customers in the targeted regions.
Closing Conditions: The transaction is expected to close after meeting standard closing conditions and obtaining necessary regulatory clearance.
Proceeds: Sunoco said it will use proceeds from the sale to reduce debt and “execute on future growth opportunities.”
🧠 EDITOR’S THOUGHTS
As the foremost operator, franchisor, and licensor of convenience stores globally, 7-Eleven holds a prominent position in the net lease investment sales market. The majority of 7-Eleven stores, often situated at corner locations, boast heightened visibility and exceptional access, with many featuring filling stations.
In the realm of net lease, it is crucial to distinguish between walk-up, gas, and non-gas 7-Eleven locations. Across all types, 7-Eleven units are typically positioned on sites witnessing a daily traffic volume of 25,000 passing vehicles. This, coupled with specific real estate criteria for 7-Eleven sites, significantly augments the intrinsic value of these net lease properties.
Regarding gas station sites, 7-Eleven favors ground leases at corner locations or Shopping Center outparcel sites, spanning 0.8 to 1.0 acre of land in high-traffic areas. These leases typically extend for 15-20 years, featuring rent increases of 10%-15% every five years. Notably, 7-Eleven is actively expanding its non-gas C-store concept, targeting locations in small retail strip centers, retail condo spaces, and single tenant sites. This innovative concept accommodates smaller parcels with buildings ranging from 1,000 to 2,500 square feet, providing investors with opportunities in high-barrier-to-entry markets.
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Next Level Burger acquires Veggie Grill, creating largest plant-based restaurant platform in the US. Next Level Burger has purchased Veggie Grill, forming the largest plant-based-only restaurant platform in the US. The acquisition comes after Veggie Grill closed a significant number of its stores in 2023 and launched a franchising initiative. Next Level Burger plans to implement changes in sourcing ingredients and ensuring living wages for team members. The two chains, which have a combined total of 27 units, aim to take plant-based dining to the "Next Level." (Read More)
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