DALLAS – Sunoco Retail LLC continues its aggressive expansion in the convenience store and fuel sector, announcing on Monday, March 2, 2026, the acquisition of 48 retail locations from Capitol Petroleum Group LLC (CPG). The purchased sites, primarily located in the greater New York City metropolitan area, operate under various branding agreements including Shell, Exxon, Mobil, and Citgo. This deal marks the third significant acquisition for Sunoco in 2026 alone, bringing the total number of sites added to its portfolio this year to 140. The move underscores a broader trend of consolidation within the convenience and fuel industry, as larger companies seek to expand their footprint and capitalize on favorable market conditions.
The acquisition, advised by Petroleum Capital and Real Estate LLC (PetroCapRE), includes a mix of business models – commission operator, dealer tank wagon, and supply-only dealer arrangements – reflecting the diverse operational structures within CPG’s network. Sunoco LP, the parent company of Sunoco Retail, is currently ranked as the 96th largest convenience store chain in the United States, based on store count, according to CSP’s 2025 Top 202 ranking. This latest purchase further solidifies Sunoco’s position as a key player in the competitive retail fuel market.
Sunoco’s Rapid Expansion in 2026
Sunoco’s recent acquisition spree signals a renewed commitment to owning and operating retail sites, a strategy that was questioned after the company sold a substantial number of locations to 7-Eleven in early 2024. However, the $9.1 billion acquisition of Parkland Corp. In mid-2025 demonstrated a shift towards growth, and the subsequent purchases of Pops Marts and Jernigan Oil have reinforced this direction. In January, Sunoco acquired 36 Pops Marts locations, along with their associated wholesale fuel distribution business. This was followed in February by the purchase of the convenience retail division of Jernigan Oil, encompassing 56 Duck Thru c-stores. The addition of these 48 sites from Capitol Petroleum Group represents a significant boost to Sunoco’s retail network.
The speed and scale of these acquisitions raise questions about Sunoco’s long-term strategy. Analysts suggest the company is aiming to create a more robust and geographically diverse retail presence, capitalizing on opportunities presented by smaller, independent operators looking to exit the market. The current market conditions, as noted by John Flippen, managing director at PetroCapRE, are particularly favorable for sellers, making it an opportune time for companies like Capitol Petroleum Group to divest strategic assets.
Capitol Petroleum Group’s Strategic Exit
Founded in 1997 by Eyob “Joe” Mamo, Capitol Petroleum Group has been a prominent player in the East Coast fuel and convenience store market. Despite selling these 48 locations, CPG retains a significant presence in the New York and Washington, D.C. Metropolitan areas, with 35 Shell-branded locations remaining in the New York City area and hundreds more in the Washington, D.C. Region. The company’s decision to sell was framed as a strategic move to capitalize on the current market dynamics.
According to Flippen, “This was the perfect time for CPG to sell these strategic retail sites in what is still a exceptionally favorable marketplace for C&G operators interested in selling assets and/or exiting the industry.” This sentiment reflects a broader trend within the industry, where larger companies are actively seeking to consolidate their market share through acquisitions. The sale allows Capitol Petroleum Group to focus on its remaining assets and potentially explore new growth opportunities.
The Broader Industry Context
The convenience and fuel retail sector has been undergoing significant transformation in recent years, driven by changing consumer preferences, technological advancements, and increasing competition. The rise of electric vehicles, the growing demand for healthier food options, and the integration of digital technologies are all reshaping the industry landscape. Companies like Sunoco are responding to these challenges by diversifying their offerings, investing in new technologies, and expanding their retail networks.
The acquisition of Capitol Petroleum Group’s sites is not an isolated event but part of a larger pattern of consolidation within the industry. Larger players are leveraging their financial resources and operational expertise to acquire smaller, independent operators, creating economies of scale and enhancing their competitive advantage. This trend is expected to continue in the coming years, as the industry adapts to the evolving needs of consumers and the changing regulatory environment.
Sunoco’s recent acquisitions demonstrate a clear strategy of growth through consolidation. The company’s ability to successfully integrate these new sites into its existing network will be crucial to its long-term success. The company will necessitate to effectively manage the transition, maintain brand consistency, and leverage its scale to drive efficiencies and enhance customer value. The integration process will also involve adapting to the diverse operational structures of the acquired sites, ensuring a seamless transition for both employees, and customers.
The acquisition of 48 retail and fuel sites from Capitol Petroleum Group represents a significant step forward for Sunoco Retail LLC. The company’s continued expansion underscores its commitment to the convenience store and fuel industry and its ambition to become a leading player in the market. As the industry continues to evolve, Sunoco’s ability to adapt and innovate will be critical to its long-term success. The next key date to watch will be Sunoco LP’s first-quarter earnings call, scheduled for late April 2026, where executives are expected to provide further details on the integration of these new sites and their impact on the company’s financial performance.
Stay informed: For the latest updates on Sunoco LP’s performance and industry trends, visit the company’s investor relations website at www.sunoco.com.
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