CRE Midwest

NAI Hiffman arranges $17M sale-leaseback for Young Innovations in IL, MO

NAI Hiffman arranges 17M sale-leaseback for Young Innovations in IL, MO,ph1
2260 Wendt Street in Algonquin, Illinois.

NAI Hiffman completed a sale-leaseback transaction on behalf of Young Innovations, Inc., a global manufacturer and distributor of consumable dental supplies and equipment. The assets, which sold for $17.1 million, include the company’s 95,000-square-foot headquarters building at 2260 Wendt Street in Algonquin, Illinois, as well as the firm’s three manufacturing and distribution facilities totaling 117,400 square feet in Earth City, Missouri, a suburb of St. Louis.

Young Innovations will maintain operations at all properties under a 20-year lease with the buyer, New York-based New Mountain Net Lease.

“Through sale-leaseback transactions, companies like Young Innovations are able to capitalize on strong pricing without any disruption to their business, in many cases reinvesting proceeds to support future growth,” said Pat Sullivan, executive vice president of NAI Hiffman’s capital markets group. “These transactions also provide the steady, predictable returns that many investors seek.”

The sale, brokered by Sullivan and Ryan Chambers, vice president of NAI Hiffman’s capital markets group, marks the sixth single-tenant, sale-leaseback transaction executed by the firm’s capital markets group over the past 24 months. Together, they comprised 16 assets across seven states that, collectively, were valued at nearly $120 million.