Sales & acquisitions Willow Grove Park, a 981,000 sq. ft. regional shopping center in Willow Grove, Pa., has been purchased through a partnership between Philadelphia-based Pennsylvania Real Estate Investment Trust (PREIT) and Pennsylvania State Employee Retirement System (PaSERS). The seller was a commingled investment account comprised of pension fund clients managed by Atlanta-based Lend Lease Real Estate Investments. The purchase price was $140 million.
In conjunction with the acquisition, it was announced that a 230,000 sq. ft. Macy's department store would be added to the complex. Its targeted opening date is fall 2001. In addition, plans for the property include $25 million in renovations including improvements to common areas and construction of a new parking garage. Management, leasing and redevelopment of the center will be handled by PREIT's management affiliate, PREIT-Rubin Inc.
Under arrangements between PREIT and PaSERS, PREIT will receive fees for managing the property and performing construction oversight services in connection with the new Macy's store and the new parking garage. Upon concluding the Macy's development, PREIT's initial limited partnership interest in Willow Grove Park will convert to a substantial interest, and the company will become the managing general partner.
Aztec Group Inc., a Miami-based real estate investment and merchant banking firm, recently brokered the sale of Coral Palm Plaza in Coral Springs, Fla. The buyer, Boca Raton, Fla.-based Woolbright Development Inc., bought the center for $6.2 million. The seller was Century Properties Fund, Denver. Coral Palm Plaza is a 135,398 sq. ft. center anchored by Michaels.
Bristol Place, a 60,000 sq. ft. shopping center in Costa Mesa, Calif., has been sold by Principle Financial Group, Des Moines, Iowa. The buyer, The Simay Co., Woodland Hills, Calif., purchased the property for $12.15 million. Tenants at the center include Target, Blockbuster Video, Supercuts, LensCrafters and PayLess ShoeSource. Faris Lee Investments, Irvine, Calif., represented both parties in the transaction.
The Hutensky Group, Hartford, Conn., has sold School Street Square, a 147,554 sq. ft. community shopping center in East Hartford, Conn., to an affiliate of Woodgreen Management Inc., West Haven, Conn. The purchase price was $16.1 million. School Street Square, originally built in 1964 and redeveloped by The Hutensky Group in 1989, features Big Y World Class Market, Rite Aid, Blockbuster Video, Fashion Bug and AutoZone.
Northgate Shopping Center, a 206,000 sq. ft. grocery-anchored center in Decatur, Ill., has been sold to Los Angeles-based Northgate Limited Partnership. Minneapolis-based Decatur Investors LLC was the seller. Both parties were represented by Cohen & Co. Inc. Real Estate, a New York-based investment salesfirm. Northgate Shopping Center, which was completely renovated and redeveloped in 1998, is occupied by Schnuck's Supermarket, K's Merchandise, OfficeMax and Hollywood Video. The purchase price was not disclosed.
The Staubach Co., Dallas, has negotiated the sale of a 75,000 sq. ft. building on behalf of Galyan's Trading Co. in Dublin, Ohio, a suburb of Columbus. The property was acquired by The Don M. Casto Organization, Columbus. The purchase price was not disclosed.
Financing Irvine, Calif.-based FINOVA Realty Capital Inc. has provided $98 million in short-term financing for the acquisition of a 1.4 million sq. ft. Texas shopping center portfolio. Purchase N.Y.-based Bryant Development Corp. utilized the financing to purchase eight grocery-anchored and neighborhood shopping centers, all located in Austin, Texas. Sold by The RREEF Funds,, the properties include Anderson Mill, Century South, North Park, Round Rock West, Springdale, Towne Square, West Woods and Market Place. Three of the centers are anchored by H.E.B. grocery store.
A $2 million first mortgage loan has been arranged for Del-Ton Plaza, a 56,734 sq. ft. shopping center in Tonawanda, N.Y., a suburb of Buffalo. Financing was arranged for Buffalo-based Benderson Development Co. by Legg Mason Real Estate Services, Philadelphia, through its correspondent relationship with Sun Life Assurance Co., Toronto. Tenants at Del-Ton Plaza include Value Home Center and Rite-Aid. Financing was based on an 11-year term with an 11-year amortization.