Coventry Real Estate Advisors awarded Urban Retail Properties LLC the contract to provide leasing services for 39 assets across the country.
The properties, former Service Merchandise spaces, range in size from approximately 25,000 square feet to over 70,000 square feet and are located in 22 states across the U.S.
“We chose Urban Retail because of their exceptional history in the industry and their ability to perform on large scale asset portfolios such as Service Merchandise.” Coventry Director of Asset Management Loren Henry said in a statement. “This is the second assignment Coventry has awarded Urban in the last nine months and their strong performance managing and leasing Tri-County Mall made them the clear choice for the Service Merchandise portfolio.”
Urban Retail will review each center individually to identify a specific plan with the goal of improving sales performance and occupancy. For vacant spaces, Urban will target tenants that will best serve the surrounding communities and help ensure a future for the assets.
Excel Trust to Add $92.5M Center to Portfolio
Excel Trust Inc. signed a $92.5 million contract to acquire a 739,234-square-foot retail shopping center (of which 597,787 square feet is owned) in Stockton, Calif.
Built in 2004, the center is anchored by Lowe’s, Target (non-owned), Kohl’s, Sports Authority, JoAnn’s Fabrics, Ross Dress for Less, and Bed, Bath & Beyond. The property includes 13 single tenant outparcels including Wells Fargo, Bank of America, Starbucks, Panera, Wendy’s and Sonic Drive-In. The property is currently 99 percent leased.
Cedar Completes Previously Announced Purchases
Cedar Shopping Centers Inc. on behalf of a joint venture between Cedar (20 percent) and RioCan REIT completed the purchase, for approximately $134.7 million, of five anchored-shopping centers, constituting the initial five properties of the seven-property portfolio to be purchased, as previously announced, from PREIT.
The properties represent in the aggregate approximately 936,000 square feet of GLA. Three of the five are located in Pennsylvania, one in New Jersey and one in Virginia. Principal tenants include Home Depot, Kohl's Department Store, Best Buy, Giant Food Stores, Genuardi's, Dick's Sporting Goods, Bed, Bath & Beyond, Ross Stores, Staples, PetSmart and Old Navy. Shadow anchors include Lowe's Home Improvement Center and Target.
The joint venture has placed separate five-year fixed-rate first mortgage loans on the five respective properties in the aggregate amount of $72.5 million with interest at 4.75 percent and amortization on a 30-year schedule. The loans, each secured by separate first mortgages on the respective properties, are neither cross-collateralized nor subject to cross-default provisions in any manner.
Cedar funded its contribution of approximately $12.8 million to the joint venture from its credit facility for stabilized properties.
Cedar has entered into an agreement with PREIT-Rubin, Inc. to provide certain property management services for a base management fee of 1.75 percent, and certain leasing services for a period of three years. Cedar shall have the right after one year to terminate the property management agreement. Cedar shall be in full control of, and responsible for, financial management.
Cedar also announced that it also closed on the $19.6 million purchase of the 118,000-square-foot Montville Commons in Uncasville, Conn., on behalf of the same joint venture.
The property is being acquired "free and clear"; the joint venture expects to place $11 million fixed-rate financing on the property (approximately 56 percent of the purchase price) for a period of ten years at an interest rate of approximately 5.0 percent.
Cedar will be entitled to acquisition, property management, leasing, construction management, reporting and financing fees for the property.
BJ’s Wholesale Club Trades for $26.5M in Falls Church, Va.
Zuckerman Gravely Development purchased an 87,000-square-foot BJ’s Wholesale Club in Falls Church, Va., from JBG Rosenfeld Retail for $26.5 million in an all cash deal.
Holliday Fenoglio Fowler L.P. senior managing directors Jim Meisel and Dek Potts represented the buyer. Bill Kent of CB Richard Ellis represented the seller.
BJ’s Wholesale leases the entire 8.4-acre site through a 30-year ground lease with six five-year options. The store is slated to open later this fall.
JBG Rosenfeld Retail acquired the site in March 2008 from plumbing supplier Noland and transformed it into a retail site.
Plaza Advisors Completes $18M Mall Sale
Plaza Advisors announced the sale of the 475,579-square-foot Northside Centre in Miami $18 million. Plaza Advisors exclusively represented an entity affiliated with Urban America in the transaction and Anthony Blanco and Jim Michalak, co-managing partners, together with Lenard Williams, senior financial analyst, were involved in the engagement. The buyer was represented by Gene Snyder & Co..
The center’s tenants include Walgreens, Presidente Supermarket, Payless Shoes, Citibank, Foot Locker, Rainbow Fashions, CitiTrends, Simply Fashions and Dots. Northside Centre was built in 1960 and renovated in 2005. The property was 80 percent leased at the time of sale.
Colliers’ Atlanta Team Brokers Six Sales in Six Weeks
Colliers International-Atlanta’s retail sales team of Joe Montgomery and Tony D’Ambrosio has closed the sales of six shopping centers in six weeks in Georgia, North Carolina and Tennessee, representing the sellers in each transaction.
The transactions comprised more than 480,000 square feet of retail space and a combined sale total of more than $19 million.
The retail sales team acted as exclusive agent for sellers such as Capmark, CW Capital, Midland Loan Servicing, C-III Asset Management and the Australian REIT, Charter Hall.
Cushman & Wakefield Sells 1415 Third Street Promenade
Cushman & Wakefield the sale of 1415 Third Street Promenade, a three-story, 32,000-square-foot vacant retail building located on Santa Monica's landmark Third Street Promenade. The property was previously occupied by Borders Books and Music.
The buyer was ASB/Blatteis Promenade LLC. Cushman & Wakefield brokerage professionals Steve Algermissen, Kazuko Morgan and Carine Mamann represented the seller, 1415 3rd Street Promenade LLC. Terms of the sale were not disclosed.
Other Notable Deals
The Boulder Group completed the sale of a single tenant net leased Walgreen’s property located in Holden Beach, N.C. for $4.4 million The property is 100 percent leased to Walgreen’s for the next 24 years. Randy Blankstein and Jimmy Goodman of the Boulder Group represented the buyer and seller in the transaction. The seller was a North Carolina developer and the purchaser was a Chicago based private investor in a 1033 exchange.
Lee & Associates negotiated the $3.1 million sale and purchase of the 28,717-square-foot Juneau Shopping Center in Juneau, Wis. Steve Doran, Blake George and Todd Waller of Lee & Associates’ Madison office represented the buyer Capitol Real Estate Juneau LLC and seller T. Rectangle Properties LLC and brokered the transaction. Currently 90 percent leased, the seven-year-old shopping center is home to Piggly Wiggly, Edward Jones and a Subway restaurant.
CB Richard Ellis negotiated the sale of an 18,000-square-foot freestanding, retail building in Tucson, Ariz. Habitat for Humanity, plans to expand its HabiStore when it relocates from South Palo Verde Road to its new location in late 2010 or early 2011. David Montijo and David Blanchette of CBRE’s Tucson office represented the seller, LL Grant Rd. LLC. The buyer, Habitat for Humanity Tucson, was represented by Mick Cluck of Tucson Realty & Trust Co.
RealtyLink LLC announced the sale of a 4,500-square-foot Verizon Wireless store it had developed in the summer of 2010 about 20 miles southeast of downtown Charlotte. Verizon is on a 10-year lease that commenced Sept. 6 with a 10 percent rent bump after 5 years. The all cash transaction closed escrow on September 23rd for approximately $2.6 million and the buyer was an institutional real estate company headquartered in Texas.