Starwood Capital Group, a Greenwich, CT-based private investment firm, acquired The Promenade Bolingbrook in suburban Chicago.
Forest City Enterprises sold the 774,000-square-foot, LEED-certified open-air lifestyle center, which was constructed in 2007 off I-355 in the Joliet/Central Will submarket. The center is 96% leased to a number of nationally recognized tenants, including DSW, Barnes & Noble, H&M and Victoria's Secret.
In addition to its retail component, The Promenade serves as a town center and community asset for Bolingbrook, providing outdoor concerts, farmer's markets and other community events.
This is the third lifestyle center and the fourth Chicago-area shopping center acquired by Starwood Retail Partners, the wholly-owned, fully-integrated operating platform that manages Starwood Capital Group's 19 million-square-foot retail portfolio.
"We believe that we can add both strategic and operational value to this asset, particularly given our presence and expertise in the market," said Scott Wolstein, CEO of Starwood Retail Partners. "In addition to being based in Chicago, Starwood Retail Partners already manages several investments in the area--including Louis Joliet, Chicago Ridge and Southlake Mall."
"We are pleased to add another high-quality lifestyle center to our retail portfolio," said Ethan Bing, vice president of Starwood Capital Group. "We are acquiring a fundamentally strong asset below replacement cost that generates attractive cash-on-cash returns, and represents a compelling opportunity for the Firm and our investment partners."
Please see CoStar Comp #3002441 for more information on the transaction.