Par Pacific Enters Sale-Leaseback Deal for 22 Hawaii C-stores

HOUSTON — Par Pacific Holdings Inc. and a subsidiary of Realty Income Corp. have entered into a sale-leaseback deal for 22 convenience stores in Hawaii.

Upon closing, Par Pacific's subsidiaries will sell 22 c-store and fuel station properties to Realty Income for an aggregate cash purchase price of $116.1 million. Par Hawaii will enter into a master lease agreement with Realty Income to leaseback, on a commercial triple-net basis, the properties for an initial 15-year term, subject to Par Pacific's option to extend the lease for up to an additional 20 years.

Par Pacific will use approximately $53.2 million of net cash proceeds to repay debt and associated obligations related to certain properties.

The transaction is subject to customary closing conditions and is expected to be completed in the first quarter.

Headquartered in Houston, Par Pacific owns and operates one of the largest energy networks in Hawaii with 148,000-bpd of combined refining capacity, a logistics system supplying the major islands of the state and 91 retail locations under the Hele, nomnom and 76 brands. In the Pacific Northwest and the Rockies, Par Pacific owns and operates 60,000-bpd of combined refining capacity, related multimodal logistics systems and 33 retail locations. It also owns 46 percent of Laramie Energy LLC, a natural gas production company with operations and assets concentrated in western Colorado.