The properties involved in the deal total 433,900 sf of retail space and include Sherwood Plaza of Springfield, IL; Kmart Center of Salina, KS; South City Center of Wichita, KS and Kmart Plaza of Jefferson City, MO.

"This acquisition represents a continued execution of our strategy to purchase value-added retail properties for our investment fund," says The Hutensky Group President Brad M. Hutensky. "Our goal is to purchase another $200 million in retail property over the next 12 months and we look to motivated owners and brokers to help us meet that target. We have lots of discretionary capital, can close quickly and are not afraid of lease-up risk when it comes to quality centers."

The company is seeking to acquire the additional retail properties through its HRI Fund, LLC affiliate.

Sherwood Plaza is a 124,886-sf complex that is anchored by an 84,000-sf Kmart store. The center also has eight other tenants including Staples. Kmart Center in Salina, Kan., is an 87,406-sf facility where Kmart is the sole tenant. South City Center is a 130,381-sf retail center with Kmart (84,000 sf) Radio Shack, Payless Shoes and Dollar Tree leasing space there. Kmart Plaza in Missouri totals 91,227 sf and has Kmart and a Ruby Tuesday restaurant as tenants.

Hutensky says that the four shopping centers possess the "upside potential" the company's fund was looking for. Although Kmart has experienced its share of fiscal problems of late, he notes that, "Kmart is performing well in all four locations and we expect it to continue. Obviously, we are also prepared to aggressively re-lease any location that Kmart might decide not to operate in the future."

Not including the Mid-West properties it just purchased, The Hutensky Group has a portfolio of two million sf of retail space in Connecticut, Michigan, New Jersey, New York and Ohio.

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John Jordan

John Jordan is a veteran journalist with 36 years of print and digital media experience.

Retail