RioCan Real Estate Investment Trust completed the previously announced acquisition of the portfolio of six grocery-anchored properties located in the greater Montreal area totaling approximately 454,000 square feet. The purchase price for the portfolio was C$67.5 million ($54.5 million).
In connection with the purchase, RioCan jointly acquired four of the properties with a private investor on a 50-50 basis. As a result, RioCan's interest in the properties is 332,000 square feet and its net purchase price is C$47.5 million ($38.4 million).
Concurrent with the closing, RioCan arranged financing on two of the properties that were jointly acquired, totaling approximately C$13.8 million ($11.1 million) at an average interest rate of 6.91 percent for ten-year terms. RioCan expects to finalize financing commitments for the remaining four properties shortly.
"The portfolio features six grocery-anchored shopping centres with a total occupancy of 99.04 percent, with long-term grocery leases, which provides RioCan with a solid revenue stream," said Edward Sonshine, Q.C., President and CEO of RioCan. "The defensive nature of these assets, given the current volatile economic climate, makes these properties an excellent addition to our portfolio."
Marcus & Millichap Real Estate Investment Services arranged the sale of three single-tenant buildings that are pad sites to the Trabuco Hills Shopping Center in Mission Viejo, Calif., for $14.4 million. The price works out to $594 per square foot and a cap rate of 6.2 percent. Scott Hook, first vice president investments and a senior director of the firm’s National Retail Group in Newport Beach, represented the buyer. Current tenants at the sites are Walgreens, Ramona Tire and Claim Jumper.… The Dallas office of HFF (Holliday Fenoglio Fowler, L.P.) announced today that it has secured $14 million in financing for Inland Western REIT on the 179,959-square-foot Preston Trail Village shopping center in Dallas. The deal is a three-year, fixed-rate loan with American Bank of Texas…. Colliers Arnold has completed the sale of the 143,000-square-foot Western Way Shopping Center in Brooksville, Fla., to Isram Western Way LLC for $11.5 million. The deal works out to a 9.3 percent cap rate. WR Dallas LP sold the property to an undisclosed buyer….A subsidiary of Sarofim Realty Advisors in Dallas paid $15.5 million, to acquire a 72.5 percent controlling interest in a 99,718-square-foot retail plaza at 6700 W. Camelback Rd. in Glendale, Ariz., from a company formed by Michael Provenzano Sr. and Michael Provenzano Jr., the principals of Pro’s Ranch Markets of Ontario, Calif. That entity retains a 27.5 percent interest in the center. The transaction was brokered by Ryan Schubert and Michael Hackett of Grubb & Ellis/BRE Commercial in Phoenix…. Marcus & Millichap Real Estate Investment Services negotiated the sale of three net-leased assets totaling $6.8 million. The buyer is a Michigan-based private 1031 investor. The properties include a 14,958-square-foot Hertz Equipment Rental location in Miami, a 7,360-square-foot AutoZone in Baytown, Texas and a 3,700-square-foot Colonial Bank in Roebuck, Ala. The cap rates on the deals were 7.9 percent, 7.4 percent and 7.4 percent, respectively…. Plaza Advisors announced the sale of the 38,569-square-foot Belleair Bazaar shopping center in Clearwater, Fla. West Bay Drive LLC sold the property to Sunrise Plaza Holdings LLC for $6.5 million. Jim Michalak, Anthony Blanco and Jess Wirts of Plaza Advisors exclusively represented the seller…. Mid-America Real Estate Corp.'s urban team brokered the sale of a 7,000-square-foot site formerly tenanted by Ranalli's Restaurant & Beer Garden in. 1925 North Lincoln, LLC bought the site for an undisclosed amount from Park West Properties Inc.