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KATY, TX-A 1031 exchange investor from Dallas has paid close to the $7-million ask for Grand Parkway Crossing, a 27,000-sf shopping center that includes a ground lease for a 3,000-sf Jack-in-the-Box.
"We put it on the market last summer and fielded offers until we found a buyer that would meet our terms," says William Lovejoy, a first vice president in CB Richard Ellis Inc.'s Houston office. He represented both buyer, Grand Parkway LLC, and seller, Houston-based developer GCJ Property Co., of the fully leased center at 1450 Grand Parkway.
Lovejoy tells GlobeSt.com that the buyer assumed a $2.9-million conduit loan on the center's 15,000-sf first phase, built in 2000. The loan, due in October 2012, has a fixed interest rate of 6.7%.
The 4.2-acre center sits at the northwest corner of Grand Parkway and Bay Hill Boulevard. It is shadow-anchored by a 62,000-sf Kroger, which backfilled space vacated by Boise, ID-based grocer Albertsons in its exit of Houston.
"There was a lot of interest in the property because it is new and in a growing area," Lovejoy says, adding Grand Parkway Crossing Shopping Center received more than six offers. He says there isn't a lot of lease rollover in the project, which carried a quoted rate of $22 per sf when there was space to be had. "The rent is right in the line with the market," he says. "This is a stable cash-flow property."
The Jack-in-the-Box pad site was developed in the first phase, which has eight tenants in the lineup. The roster includes Great Clips, State Farm and Hasta la Pasta Italian Grill. The 12,000-sf second phase, completed in 2003, is anchored by women's apparel retailer, Cato.
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