Madison Capital in Sale-Lease Back Agreement With REI for Distribution Center Properties

Cleary Gottlieb represented Madison Capital in connection with a $230 million purchase and sale lease-back agreement involving four distribution centers (located across AZ, PA, TN and WA) owned by Recreational Equipment Inc. (“REI”).

REI will continue to operate and occupy the distribution centers pursuant to leases entered into in conjunction with the closing of the purchase and sale.

The transaction closed on February 20, 2025.

For more information, please see the press release.

REI is a specialty outdoor retailer, headquartered near Seattle, and the nation’s largest consumer co-op, with a growing community of 24 million members. REI’s network of distribution centers services its more than 190 stores across the country, as well as fulfills customers’ online orders.

Madison Capital is a leading real estate investment and operating company based in New York City and has over $3.2 billion in assets under management.