In a deal negotiated by C & W's investment sales team of senior director Mark Gilbert and director Adam Feinstein, a joint venture between Kimco Realty Corp., based in New Hyde Park, NY, and DRA Advisors, based in New York City, purchased Palm Aire Marketplace in Pompano Beach. The seller was AMB Property Corp., based in San Francisco. Palm Aire Marketplace consists of 140,312 sf and is anchored by Winn-Dixie Marketplace and Eckerd.
"The fact that the property is located opposite a new super Wal-Mart did not deter Kimco," Gilbert says in a statement. "Kimco correctly assessed that Palm Aire Marketplace remains a vibrant neighborhood retail center despite the competition presented by Wal-Mart."
In another transaction negotiated by the investment team, a joint venture between investment adviser Guggenheim Partners Real Estate and Stiles Corp., a development company based in Fort Lauderdale, bought Coralwood Shopping Center in Cape Coral. Lamar Cos., based in Morristown, NJ, was the seller. The 343,066-sf center is anchored by Winn-Dixie, Beall's Department Store, Beall's Outlet, JCPenney, Marquee Cinemas and Kmart.
"Guggenheim's interest in this acquisition was driven by its strong belief in the fundamentals of the Cape Coral market," according to Feinstein. "Guggenheim was attracted to Cape Coral for retail investment because of its unique combination of strong population growth and high barriers to additional retail development. Large retail development tracts do not exist in central and south Cape Coral, which is the heart of this market."
The price also was attractive to Guggenheim, Feinstein adds: "At less than $80 per sf, Guggenheim was thrilled to acquire the property at substantially less than replacement cost."
Within the last month and a half, Gilbert and Feinstein also handled the sales of Boulevard Square in Fort Lauderdale for $44.3 million, Plaza at Delray in Delray Beach for $66 million and Mission Bay Plaza in Boca Raton for $62.3 million. The five shopping centers have a total of 1.3 million sf and sold for more than $216 million combined.
"The completion of these four deals in such a short time frame and all at outstanding pricing is a clear indication that the demand for shopping centers in South Florida remains exceptionally strong," Gilbert says.
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