Washington Prime Group (WPG) said after markets closed on Monday that it has agreed to acquire through a sale-leaseback transaction four Sears department stores and four adjacent Sears Auto Centers located at Tier One assets.
The purchase price is $28.5 million, and Washington Prime Group expects to complete the acquisition during Q2.
The company said will have control of these properties for future redevelopment.
Sears said it will continue to operate the properties under new leases with the company.
Aggregate base rent under these leases is $1.25 million per annum. In addition, Sears will be responsible for paying common area maintenance charges, taxes, insurance and utilities.
Upon completion of the acquisition, the company will have the right to terminate each store lease under certain circumstances as stated in each lease.