Sovereign Investment Company Executes Sale/Leaseback Transactions Worth $12.3M for Fletcher’s Tire & Auto Service

PRINCETON, N.J.--Sovereign Investment Company, one of the largest and fastest growing private equity investors providing sale/leaseback capital, today announced it has completed transactions worth $8.615 million for Fletcher’s Tire & Auto Service with a forward purchase commitment for additional assets worth $3.685 million.

Sovereign completed the sale/leaseback transactions for Fletcher’s for five real estate assets in the greater Phoenix metropolitan area. The properties will be leased back for 20 years. Proceeds from the transaction enable Fletcher’s to free up capital and pay down debt to continue the company’s expansion.

Fletcher’s is a tire and automotive repair service company based in Phoenix, Ariz. It currently operates 28 tire and automotive repair centers within the greater Phoenix and Tucson markets.

“Fletcher’s Tire & Auto Service’s growth plans require access to sale/leaseback capital so we may continue to grow and acquire new sites for our business,” said Jack Smith, chief financial officer, Fletcher’s Tire & Auto Service. “By partnering with Sovereign, our company can streamline the development process and achieve our long-term growth goals faster and more efficiently.”

For more information on Fletcher’s, visit http://www.fletcherstireandauto.net.

“Sovereign is proud to have developed the trust of Fletcher’s Tire & Auto Service over a series of successful transactions and to serve as its sale/leaseback provider assisting the company in its expansion,” said Peter Mavoides, president and chief executive officer of Sovereign Investment Company. “This is another example of Sovereign providing creative solutions to monetize a client’s real estate assets, while providing the reliable execution necessary to meet the company’s requirements.”

About Sovereign Investment Company

Sovereign Investment Company is one of the largest and fastest growing private equity investors providing sale/leaseback capital to owners, operators and developers of single-tenant, net-leased real estate. Well-capitalized and positioned for growth, Sovereign is actively pursuing restaurant, retail, office and industrial investment opportunities. Since 2004, Sovereign has invested more than $400 million in long-term, net-leased properties nationwide.