SAN ANTONIO, TEXAS — A joint venture between Oakbrook, Ill.-based Inland Western Retail Real Estate Trust and Toronto-based RioCan Real Estate Investment Trust has purchased the 469,031-square-foot Alamo Ranch, a shopping center located at the intersection of Loop 1604 and Culebra Road in San Antonio, from Las Colinas, Texas-based Archon Group for $92.2 million. RioCan will own 80 percent of the asset and Inland Western will own the remaining 20 percent.
“This acquisition continues our strategy of acquiring Class A retail properties in high-growth metro areas,” says Shane Garrison, chief investment officer of Inland Western Retail Real Estate Trust. “Currently, the venture is focused on core, Class A properties in the four big Texas markets: Houston, Dallas/Fort Worth, Austin and San Antonio. We are looking at a number of properties as future [acquisition] possibilities.”
Best Buy, OfficeMax, PetSmart, Dick’s Sporting Goods, Marshalls and Ross Dress for Less anchor the center. Super Target, JCPenney and Lowe’s shadow-anchor the center and were not included in the sale.
“At approximately 88 percent occupied, we feel there is still upside in the asset due to the opportunity to increase occupancy through our numerous national and local tenant relationships,” Garrison says.
Chris Cozby and Chris Gerard of CBRE’s Dallas office represented the seller in the transaction.
Together, the joint venture has procured five assets this year for a total of more than 3 million square feet of retail space in 13 properties. Additionally, Inland Western has more than 10 million square feet of managed assets in Texas.
— Savannah Duncan