Kensington Closes $33M in Retail Deals

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TUSTIN, CA-Kensington Real Estate Group has acquired two Southern California properties in two separate transactions that totaled $17.3 million. The group also sold the final parcel of Diamond Bar Village Center for $15.8 million.Patrick Galentine, president of Kensington, says the firm wanted to obtain the Van Buren and Cypress plazas because both properties were underperforming in their markets. “While Van Buren [Plaza] was nearly 100% occupied when we bought it, it was under valued,” he says. “Vacancies in Riverside, especially on Van Buren, are almost non-existent at this point.” Both projects are planned as long-term holds. Galentine tells Globest.com that Kensington plans to upgrade Van Buren Plaza’s tenancy soon. The 95,000-sf retail center, which sold for $14.5 million, was built in 1990 and is located at 5600-5750 Van Buren Blvd. in Riverside. Current tenants include Fantastic Sams and Payless ShoeSource. “We plan to implement a cosmetic rehab program,” Galentine says. “We are also selecting new tenants to remerchandise the center to maximize its value.” REZA Investment Group of Irvine represented the seller, a private party.Cypress Plaza, a 22,000-sf, mixed-use retail and office center, sold for $2.7 million. It is located at 5721-5735 Lincoln Ave. in Cypress, just a quarter mile east of Valley View and Lincoln, where a major power center renovation is taking place. Cypress Plaza was 99% occupied at the time of acquisition. It will also undergo cosmetic renovations and re-tenanting. CB Richard Ellis Private Client Group represented Kensington and the seller, a private party.Kensington purchased Diamond Bar Village Center in March 2003. The firm sold its final parcel, a 103,000-sf, mixed-use retail and office project, after the property was renovated. CB Richard Ellis Private Client Group represented the buyer, Sandstone Properties of Los Angeles.