Axis Realty Advisors Completes $1.3 Million 1031 Exchange Acquisition Of Family Dollar Property

Adam P. Von Romer, CCIM, President of Axis Realty Advisors, Inc., has completed the $1.3 million acquisition of a single-tenant Family Dollar property located at 4194 Hickory Hill Road in Memphis, Tennessee.

The transaction was structured as a 1031 exchange.

Von Romer represented an investor who sold a management-intensive commercial property in North Miami and sought a more passive investment with a single corporate tenant. The Memphis acquisition allowed the investor to exchange the challenges associated with the former property for the stability and simplified ownership structure of a net-leased retail asset.

The approximately 9,373-square-foot Family Dollar store occupies about 1.18 acres and was constructed in 2015. The property is subject to an absolute triple-net lease under which the tenant is responsible for the building’s operating expenses, including the roof and structure.

Family Dollar’s current lease term runs through February 2031. The lease also includes four additional five-year renewal options, with a 10% rent increase scheduled during each option period.

“This acquisition accomplished exactly what our client wanted from her 1031 exchange: the opportunity to move away from a property that required considerable time and attention and into a more predictable, passive investment backed by a single corporate tenant,” said Von Romer. “It demonstrates how a carefully planned exchange can do more than defer taxes—it can materially improve the quality and manageability of an investor’s real estate portfolio.”

The property is situated along Hickory Hill Road, which carries approximately 23,000 vehicles per day. Its location also provides access to the transportation and distribution infrastructure that has established Memphis as one of the nation’s leading logistics hubs.

The transaction reflects continued investor demand for net-leased properties that offer established tenancy, limited landlord obligations and dependable income. For owners of management-intensive or underperforming assets, a 1031 exchange can provide an opportunity to reposition equity into real estate that more closely matches their current investment objectives.