|Village Square at Dana Park|
Whitestone REIT (NYSE:WSR
) has closed on a pair of retail centers in Arizona totaling more than $65.9 million. Whitestone is a fully-integrated real estate company focused on the ownership, operation and redevelopment of highly-visible neighborhood retail centers.
Village Square at Dana Park
is a 310,979-square-foot community center located in the Mesa submarket of Phoenix. The sale closed for $50.5 million, or about $162 per square foot. Included in the acquisition were six developed pad sites and an adjacent 4.7-acre development parcel that could add another 200,000 square feet. The all-cash transaction features in-place cash flow and represents a 45-percent discount to replacement cost.
The upscale, open-air "lifestyle center" offers service retail, general retail, restaurants and mixed-use office space
spanning 61 acres in the Southeast Valley submarket along Val Vista Drive between the Superstition Hwy and Baseline Rd. It was 71 percent leased at the time of sale, and features nearly 293,000 square feet of retail space
with 18,000 square feet of second-story office space. The tenant roster includes AJ's Fine Foods, Barnes & Noble, Jared Galleria of Jewelers, Chicos, California Pizza Kitchen, Ann Taylor Loft, Talbots and White House Black Market.
Triple Five Development Corp. sold the property and development land.
Please see CoStar COMPS #2561936 for additional information on this transaction.
In a separate off-market sale, Whitestone acquired Fountain Square
, a 118,209-square-foot community center in Scottsdale, AZ, for $15.4 million, or about $130 per square foot. The all-cash transaction represents a 49-percent discount to replacement cost.
Fountain Square is located on Bell Road near 7th Street in the Moon Valley and Paradise Valley neighborhoods of northern Phoenix. Occupancy at time of sale was 76 percent. The 12-acre property has an inviting Southwestern-style architecture and includes second-floor mixed-use office and medical space. Construction is currently underway to launch a new 20,000-square-foot Planet Fitness, which will join salons, several restaurants, medical and educational tenants at the center.
Sanford Burstyn with Marcus & Millichap represented the seller, Lakha Investments.
Please see CoStar COMPS #2561419 for additional information on this transaction.
Whitestone now owns more than one million square feet of lease space across 12 centers in the greater Phoenix area. Other centers include Ahwatukee Plaza, The Citadel, Desert Canyon, Gilbert Tuscany Village, MarketPlace at Central, Paradise Plaza, Pima Norte, The Pinnacle of Scottsdale, The Shops at Pinnacle Peak, and Terravita Marketplace. Each is located in a stabilized neighborhood with strong demographics and a tenant list that provides essential services to support the local community. All 12 properties were purchased in off-market transactions valued below replacement cost, and include some value-add component.