CHICAGO — Marcus & Millichap has brokered the sale of Park Shops, a grocery-anchored retail center in Chicago, for $3.9 million. The 47,069-square-foot property is located at 6400 W. 63rd St. Fair Share Super Market has operated at the location for 27 years and recently extended its lease for 10 years. Adrian Mendoza, Austin Weisenbeck and Sean Sharko of Marcus & Millichap marketed the property on behalf of the seller, a developer. A Chicago-based private investor purchased the asset.
As retailers rise and fall in the age of Amazon, property taxes remain one of retailers’ largest operating expenses. That makes it critical to monitor assessments of retail properties and be ready to contest unfairly high taxable valuations. Assessors — and property owners attempting to educate those assessors — must understand how the changes taking place in the retail sector affect property value. Assessors must adjust their models to reflect new market realities, and property owners or their representatives must be able to explain why previously held valuation assumptions could no longer be valid. No Going Back Changing consumer tastes have always required retailers to adapt in order to survive, but traditional retailers are facing a different kind of challenge today. The increasing role of e-commerce in overall sales reflects a fundamental change in consumer behavior that will not reverse course with the whims of fashion. The ability to shop online is resetting consumer expectations, and retailers are struggling to adapt and stay competitive. This struggle is evident in store closings that in 2019 are outpacing closings from the prior year. In addition to the threat of e-commerce, some economists believe a recession is coming in 2020. Falling retail sales, …
SAN MARCOS, CALIF. — San Diego-based SENTRE Inc. has purchased San Marcos Village, a neighborhood retail center located in San Marcos. A San Diego-based joint venture partnership sold the property for $19.2 million. At the time of sale, the grocery-anchored center was 92 percent leased to a variety of tenants, including Grocery Outlet, 99 Cents Only Store and AutoZone. Philip Voorhees, Reg Kobzi, Preston Fetrow and Eric Shain of CBRE National Retail Partners-West represented both parties in the transaction. Scott Peterson, Bill Chiles, Brian Cruz and Morgon Fraser of CBRE’s San Diego Debt & Structured Finance team arranged an $11.6 million, seven-year, fixed-rate loan through a regional bank for the buyer.
SOUTH PASADENA, CALIF. — An out-of-state family trust has sold the ground lease of a parking lot adjacent to a Rite Aid store located at 900 S. Fair Oaks Ave. in South Pasadena. A Southern California-based private investment company acquired the approximately 27,000-square-foot site for $7.2 million. Dan Elliott, Sean Lutz, Ara Rostamian, Matthew Mousavi and Patrick Luther of SRS Real Estate Partners’ National Net Lease Group represented the seller, while Brandon Burns and Brandon Gill of Cushman & Wakefield represented the buyer in the transaction.
GRAND PRAIRIE, TEXAS — Venture Commercial Real Estate has arranged the sale of a 58,515-square-foot retail property formerly occupied by Albertson’s grocery store in Grand Prairie, located roughly midway between Dallas and Fort Worth. John Zikos and Charlotte Cooper represented the seller in the transaction. Sean Porter with Capstone Commercial Real Estate Group Inc. represented the buyer. Both parties requested anonymity.
JACKSONVILLE, FLA. — Cracker Barrel Old Country Store Inc. has acquired Maple Street Biscuit Co. for $36 million in an all-cash deal. Maple Street’s portfolio comprised 28 company-owned and five franchise-owned restaurants in seven states at the time of sale. The company plans to convert its Holler & Dash Biscuit House into Maple Street Biscuit locations. Scott Moore and Gus Johnson founded Maple Street in Jacksonville in 2012. Moore will stay on as CEO and will report to Sandra Cochran, president and CEO of Cracker Barrel.
ST. LOUIS — Confluent Development has completed the redevelopment of the historic Southwest Bank property in the Southwest Garden neighborhood of St. Louis. The project is now home to BMO Harris Bank, which remained operational throughout the redevelopment process, and Walgreens, which recently celebrated its grand opening at the location. Confluent is donating a third building to local nonprofit Tower Grove Neighborhoods Community Development Corp. A fourth vacant site will be available for a future tenant. Confluent preserved the historical façade along the Kingshighway Boulevard portion of the project while redeveloping the remainder of the underutilized land. Rosemann & Associates served as architect and Paric Corp. was the general contractor. Pace Properties will market the available pad site for lease.
MUSKEGON, MICH. — West Michigan-based B2 Outlet Stores has opened its 18th location in the state of Michigan. The discount retailer occupies 6,700 square feet at 1680 E. Apple Ave. in Muskegon. B2 Outlet offers a variety of merchandise and donates a portion of all profits to local and worldwide causes. Todd Leinberger of NAI Wisinski of West Michigan assisted B2 Outlet in securing the new location. Leinberger, along with colleagues Russ Bono and Cameron Timmer, represented the undisclosed landlord. The name B2 stands for Benefit Twice.
Orlando’s retail market happens to be a really good representation of the national market. By every metric, Orlando is doing well as both rental rates and occupancy rates have been increasing. Orlando is one of the fastest growing cities in America, adding roughly 1,000 new residents each week. Tourism numbers continue to climb with 75 million visitors in 2018, according to Visit Florida. Downtown is experiencing an economic resurgence with a new collegiate campus (more on this later). As a result of the city’s overall growth, Orlando is also experiencing suburban growth with noteworthy developments such as Lake Nona. However, it can be overwhelming in the sense that the industry and consumer demands continue to evolve. There are all kinds of new and different concepts so to be a player in today’s dynamic market, retailers have to be innovative. While there is news of retailers shrinking in size or filing bankruptcy, it is important to keep up with the evolving market and create retail concepts that are relevant to today’s consumer’s demands. One consumer demand is retail tourism, which is a hotspot for retail development, especially with Disney Springs, the I-Drive corridor and theme parks in the surrounding area. What …
NEW YORK CITY — Seafood restaurant Mighty Catch has signed a 1,360-square-foot retail lease in Manhattan. Located in the Columbia University submarket, the lease encompasses 960 square feet on the ground floor of 940 Columbus Avenue., as well as an additional 400-square-foot basement space. The restaurant is slated to open in early 2020. Anton Marchuk of Harvest International Commercial Real Estate represented Mighty Catch in the lease negotiations. Michael Shkreli of Winick Realty Group represented landlord, Walter & Samuels.