Centennial Advisers, through the diligent work of our Opportunity Zone Team, has developed a client relationship that allowed us to acquire multiple OZ properties for them.
Following the purchase of a Whitewater Express Carwash in Texas, and a new construction 7-Eleven in North Carolina, this is now the third Opportunity Zone closing with this group.
We were able to prove our worth after beating out the competition, and submitting an over-list offer with our client’s equity. The upleg is a Caliber Collision with a brand new 15-year lease which will save them another $1.8 million in capital gains tax and over a $400 thousand increase in cash flow.
Caliber Collision is the nation’s leading collision repair company and the one our client acquired is located under three miles from Purdue University, and within a mile of Purdue Research Park, the largest university affiliated incubation complex in the country.
The high cap rate and the willingness from the sellers’ side to cooperate was what attracted our buyers to move forward with this property.
It is a race against time for our clients. The Caliber Collision is eligible for accelerated and bonus depreciation which was very appealing as they get closer to doing a cost segregation study in order to push more deals across the finish line prior to the end of the year.
“No matter how difficult or inconvenient, we always tell our clients we HAVE to see the property,” Centennial Advisers Managing Director Justin White said. “20 hours in the air or on the ground to meet with contractors, see the real estate, and meet with bankers was totally worth it. Helping clients implement millions of tax savings or find the perfect hassle free upleg before year end is what we do. It’s fun to be a part of creating ‘Happier Holidays.'”
Justin White
