Developers Diversified Realty formed a $62 million joint venture with Cole Real Estate, a privately-held real estate investment firm, for the ownership of Independence Commons, a 386,066-square-foot shopping center in Independence, Mo. Independence Commons previously belonged to a joint venture of Developers Diversified and Macquarie DDR Trust. Macquarie will receive more than $20 million from the sale of its interest in the property.
The transaction will help achieve Developers Diversified’s goal of strengthening its balance sheet at a time of great turbulence in the credit markets, according to David Oakes, executive vice president of finance and chief investment officer with the firm. Developers Diversified has a relationship with Cole, having completed two asset sales transactions with the company, in December 2006 and August 2008.
The new venture will be divided 85.5 percent/14.5 percent between Cole and Developers Diversified. The REIT will also receive leasing and property management fees for the property.
Sperry Van Ness Real Estate Services LLC negotiated the sale of the Shops at Zocallo, a 26,595-square-foot retail center in Scottsdale, Ariz., to Emerson Properties Inc. for $16.8 million. The $629.82-per-square-foot price tag is the highest paid in the state of Arizona for a multi-tenant retail property greater than 10,000 square feet… Marcus & Millichap Real Estate Investment Services negotiated the sale of a BJ’s Wholesale Club ground lease in Manahawkin, N.J. from SP 72 LLC to Shubert and Booth Theatre, LLC for $14.9 million… Faris Lee Investments negotiated the sale of a single-tenant, 22,036-square-foot PetSmart property in Prescott, Ariz. from PRICPETS Prescott Trust to 277 Walker Road, LLC for approximately $4.8 million in a 1033 exchange transaction. The property featured a 6.1 percent cap rate.