The seller was the original developer, Schostak Brothers & Co. of Southfield, MI. The buyer was a New York-based private investor. Kahlil Kenneth Barnard and Paul Kerber, senior brokers in Marcus & Millichap's National Retail Group, represented the seller and prospected the buyer.

Barnard tells GlobeSt.com that 25% of the in-line space is vacant and that the anchor tenants have an average of 12 years remaining on their leases, excluding extension options. He adds there was some reticence among potential buyers due to the financial troubles of the main anchor tenant, Kmart, but says this Kmart is one that will remain open. Based on in-place rents, the sale price translates to a capitalization rate of 11%, said Barnard.

"Fair Oaks Mall has an excellent location and is the market area's only regional mall," says Barnard, who has sold four regional malls in the Midwest in recent months. "The property offers the potential for significant upside through the lease-up of ... the in-line space, plus expansion capacities for two of the main anchors."