Deals Closing on ExxonMobil's New Jersey Locations
JERSEY CITY, N.J. -- The end of ExxonMobil Corp.'s strategic plan to divest its company- and dealer-owned sites is in sight with closings on the oil giant's 200-plus New Jersey sites close at hand.
John Sartory, managing director of Petroleum Capital and Real Estate LLC, told CSNews Online that ExxonMobil divided the locations -- spread through central and northern New Jersey -- into four clusters for bidding. One bidder won two of the clusters, with the other two clusters going to one bidder each. Petroleum Capital and Real Estate represents the distributor who is taking two clusters, he said, adding that that transaction is expected to close in early May.
In compliance with New Jersey law, ExxonMobil's first step in the transaction was to offer eligible dealers a Right of First Refusal and bona fide offer to purchase their sites. Sites not bought by dealers are being sold to the winning bidders -- PMG New Jersey II, Lehigh Oil and Chestnut Petroleum.
The sale of ExxonMobil's Garden State locations is part of a company strategy dating back to 2008. ExxonMobil Fuels Marketing Co. grabbed headlines then with its intention to exit the direct-served retail business in the United States. The move to sell approximately 2,200 sites was fueled by the company's belief that converting the majority of its markets to branded wholesale would be the best path to grow a competitive ExxonMobil, as CSNews Online previously reported.
New Jersey is the last major market ExxonMobil has direct operations in, Sartory said.