GI Partners sold its 75 percent stake in FlatIron Crossing, a 1.7-million-sq.-ft. class-A regional mall in Broomfield, Colo., to its joint venture partner Macerich. GI invested in the property in 2009. The sale generated a return of approximately two times GI’s invested capital, and a gross internal rate of return of more than 25 percent to limited partners of GI Partners Fund III L.P.
FlatIron Crossing was developed by a Macerich subsidiary in 2000. Nordstrom, Dillard’s and Macy’s anchor the property. Dick’s Sporting Goods, Crate & Barrel and The Container Store serve as junior anchors. In addition to retail tenants, FlatIron Crossing features 20 acres of parks landscaped with native plants, streams, waterfalls and trails.
“Our very successful partnership with Macerich in FlatIron Crossing is a further demonstration of our compelling track record of working with best-in-class management teams to proactively implement measures that recognize the full inherent value of world-class assets,” said GI Partners Executive Managing Director Rick Magnuson in a statement. “We structured a transaction with Macerich after the financial markets collapsed to align our interests and collaboratively navigate the downturn by securing the long-term tenancy of numerous marquee tenants. Macerich is well-positioned to continue developing the amenities of this dominant North Denver mall for sustained long-term growth and success.”
Global Retail Investors Buys Lincoln Village Shops in Scottsdale for $38.7M
Global Retail Investors purchased Lincoln Village Shops, a 71,142-sq.-ft. specialty retail center in Scottsdale, Ariz., from Scottsdale Road Partners, an affiliate of Redwood Real Estate Partners, for $38.7 million.
Walgreens and Trader Joe’s anchor the property. Other tenants include Fogo de Chao, Einstein’s Bagel, My Sister’s Closet, Well Suited and Rancho Pinot Grill.
Redwood Real Estate Partners initially purchased the center in 1993.
Patrick Dempsey and Jan Fincham, of Lee & Associates Arizona, negotiated this transaction.
Mesa West Refinances Village Walk Center in California
Mesa West Capital provided a $34.8 million first mortgage to Pearlmark Real Estate Partners and Pacific Equity Properties to refinance Village Walk, a 146,000-sq.-ft. retail center in Tarzana, Calif.
Village Walk was developed from 2007 to 2009. At the time of the transaction, the center was 74 percent occupied. Whole Foods Market and TJ Maxx anchor the property, with other tenants including Starbucks, Chipotle, The Children’s Place and Yoga Works. The property is also entitled for a 72-unit condominium and townhome development.
Ronnie Gul, of Mesa West, originated this financing.
Lightstone Group Closes on $23M Floating Rate Loan
The Lightstone Group closed on a $23 million loan for three retail shopping centers totaling 270,000 sq. ft. in Massachusetts and Connecticut. Bank of the Ozarks provided funding for the loan, which features a floating rate and a three-year term.
The refinanced properties include Christmas Tree Shops Plaza, a 98,000-sq.-ft. center and Cumberland Avenue Plaza, a 59,200-sq.-ft. center in North Attleboro, Mass., as well as Hale Road, a 112,000-sq.-ft. center in Manchester, Conn. Overall occupancy for the portfolio is 94 percent, with anchor tenants including Christmas Tree Shops and Tuesday Morning.
Lightstone acquired these properties in October 2000.
HFF Helps Secure $12M Loan for ColRich Investments Property
HFF secured a $12 million loan on behalf of ColRich Investments to refinance Girard Plaza, a 30,000-sq.-ft. retail center in La Jolla, Calif. A life insurance company funded the loan, which features a fixed interest rate, a 10-year term and a six-month forward rate lock.
Girard Plaza is fully leased. Tenants at the property include Banana Republic, Gap, Lululemon and Polo. Aldon Cole, of HFF, led the team that negotiated this transaction.
In an unrelated announcement, HFF arranged a $7.3 million loan on behalf of Littleton Capital Partners for Woodlawn Shopping Center, a 96,791-sq.-ft. neighborhood shopping center in Littleton, Colo. A national bank provided funding for the loan, which features a 3.65 percent fixed interest rate and a five-year term.
Family Dollar, The Sherwin Williams Company, Act Two Consignment Boutique and India’s Best occupy the center. The property was renovated in 2008.
Eric Tupler and Josh Simon, of HFF, negotiated this transaction.
Marcus & Millichap Negotiates Drugstore Transactions in the Northeast
Marcus & Millichap Real Estate Investment Services negotiated the sale of a 13,225-sq.-ft. CVS/pharmacy in Lebanon, Pa. for $5.946 million. The transaction closed at a cap rate of 6.45 percent. The building was completed in 2008, and CVS has 22 years remaining on its lease.
Michael Shover and Matt Gorman, of Marcus & Millichap Philadelphia, represented the buyer in the transaction. Marcus & Millichap also represented the seller.
Marcus & Millichap also negotiated the sale of a 15,120-sq.-ft. Walgreens store in Baltimore for $4.81 million. The transaction closed at a cap rate of 7.71 percent.
Walgreens has 10 years remaining on its initial lease term. Brandon Michaels and Peyton Banks negotiated this transaction.
Other Notable Deals
Oxnard Vineyards LLC purchased a 108,382-sq.-ft. retail redevelopment site in Oxnard, Calif. for $7.1 million. The site comprises 11 acres of land, a 104,000-sq.-ft. former Home Depot store and a 2,000-sq.-ft. Jack in the Box. Oxnard Vineyards plans to invest approximately $5 million to redevelop the property. Vallarta Supermarkets and Fallas Discount Store have agreed to take over most of the space at the former Home Depot building. John Battle and Paul Capra, of Lee & Associates-LA North/Ventura, negotiated this transaction.
UP Development LLC purchased a 42,000-sq.-ft. former Toys ‘R’ Us store in Orlando, Fla. for $3.25 million. Scott Corbin, of Colliers International Central Florida, represented the buyer in the transaction. James Avallone, of DJM Realty Inc., represented Toys ‘R’ Us.
Kimco Realty Corp. sold Regency Plaza, a 205,696-sq.-ft. shopping center in Jacksonville, Fla., to DLC Management Corp. Burlington Coat Factory, OfficeMax and dd’s Discounts anchor the property. Plaza Advisors Holdings negotiated this transaction.
Linsalata Realty Services negotiated the sale of a 7,346-sq.-ft. retail/office complex in Bulverde, Texas for an undisclosed amount. The property was completed in 1996 and was 87 percent occupied at the time of the transaction. Joe Linsalata, of Linsalata Realty Services, represented the seller in the transaction.