### REI Sells Goodyear Warehouse, Signs Long-Term Leaseback Agreement
Recreational Equipment Inc. (REI) has sold its West Valley warehouse in Goodyear, Arizona, to Madison Capital for $46.4 million. Despite the sale, REI will continue operations at the facility under a 15-year lease agreement, with two additional 10-year renewal options. The company also retains the right of first offer to repurchase the 410,421-square-foot distribution center, located at 4877 N. Cotton Lane.
Madison Capital’s acquisition was part of a larger $230 million deal that included four REI Co-op distribution centers across Tennessee, Washington, Pennsylvania, and Arizona.
According to the *Phoenix Business Journal*, REI assured that there will be no impact on employees as it continues to operate all of its facilities. A company spokesman described the sale-leaseback model as a strategic financial and real estate decision, aligning with the company’s successful long-term leasing approach for its headquarters and retail locations.
