Clear Path Asset Management (“Clear Path”), a real estate investment manager founded by Dan Magid, announced today the sale of Charlotte medical office building located at 11010 David Taylor Drive. The sale will result in an approximately 31% internal rate of return (IRR) to investors over a two-year holding period, with a net Multiple on Invested Capital (MOIC) of approximately 1.80x.
“We entered this investment with a simple plan – ‘Buy it, Lease it, and Sell it’ – and we are happy to have executed that plan, and delivered another great outcome for our investors,” said Dan Magid. “When we purchased the property, we knew it would soon be nearly vacant, but its efficient floorplan and desirable location gave us confidence that we would identify a new medical tenant quickly. The COVID-19 pandemic hit only months after acquiring the property, but through the hard work of our leasing partners, we secured an excellent new tenant that leased the entire building, and positioned us to exit only slightly later than expected. Despite a few bumps in the road, the original plan worked nearly to perfection.”
Proceeds from the sale are currently being held by a qualified intermediary, pending redeployment via a tax-deferred 1031 exchange.
The sale of this medical office building represents Clear Path’s second disposition, following its previous sale of Farmington Square Shopping Center in Raleigh which produced a 39% IRR and net MOIC of 1.76x in under two years.
Clear Path has acquired eight commercial properties since inception, and it is actively seeking additional investment opportunities, with a primary focus in the high-growth markets in and around Raleigh and Charlotte.
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