Capital Properties Inc. will sell the petroleum storage terminal and Wilkesbarre Pier in East Providence, R.I., to Sprague Operating Resources LLC for $23 million in cash at closing, a Jan. 25 press release said.

Sprague Operating is a subsidiary of Sprague Resources LP. Capital Properties signed a definitive agreement to sell the assets.

The terminal's combined distillate storage capacity—just over 1 million barrels—was exclusively leased by Sprague beginning in May 2014.

The transaction’s closing will likely occur in 30 days, the press release said.

Capital Properties will use the proceeds to redeem its 5% dividend notes due Dec. 26, 2022.