Wheeler Real Estate Investment Trust, Inc. (NASDAQ: WHLR
) has assumed a contract previously entered into by its affiliate, Wheeler Interests LLC, to acquire the Cypress Shopping Center at 3720 Boiling Springs Rd. in Boiling Springs, SC.
Expected to close at $8.3 million ($103 PSF), the potential acquisition would increase the company's holdings to 24 with a gross leasable area of almost 1.38 million square feet, including seven in the state of South Carolina. The Virginia Beach, VA-based REIT expects to fund the acquisition with a combination of cash and debt.
The 80,435-square-foot shopping center was built in 1999 on 7.4 acres in the North Side / Rt 9 Corridor Retail submarket, at the corner of Old Furnace Road, nearly eight miles northwest of Spartanburg with immediate access to I-85. The asset is 94 percent leased, anchored by a Bi-Lo grocery store and Dollar General, with national and regional tenants like UPS, Little Caesars, Subway, Verizon and H&R Block filling the in-line space. It is shadow-anchored by adjacent Wal-Mart and Lowes stores.
"We view the Cypress Shopping Center as a prime example of the pipeline of ‘necessity-based’ properties that are available and believe that this transaction will generate strong returns and add value for our shareholders," said Jon S. Wheeler, chairman and CEO.