(For more retail coverage, click GlobeSt.com/RETAIL.)
CHICAGO-New York City-based Namdar Realty Group has purchased a three-property portfolio in Indiana and a 150,000-sf retail center in Springfield, OH. Kimco Realty Corp. sold the portfolio that includes property in Indianapolis and Evansville, IN, and the Kmart Plaza in Springfield.
The Indiana portfolio is comprised of about 362,000 sf. The Target 31 Shopping Center in Indianapolis is 186,000 sf, with five buildings and 22 units, and is 97% occupied. Felbram Shopping Center, also in Indianapolis, is 27,000 sf with two buildings and four units, and 100% occupied. The third property in Evansville is 150,000-sf with three buildings and eight units, but is vacant.
Kmart Plaza is 150,000 sf, and fully leased to a Big Kmart and Hobby Lobby, with five years remaining on their leases. CB Richard Ellis' Chicago Shopping Center Investment Team of Richard Frolik, George Wood, Bob Mahoney and Bill Wright represented Kimco in the deal.
Wright tells GlobeSt.com that Kimco will not divulge the purchase price of the properties. "They sell a number of properties every year," he says. "They go through their portfolio, look at assets that have some upside potential but for whatever reason they want to pluck them from their portfolio."
He says the two occupied properties in Indianapolis are very stable, but below market rent. "The trade area hasn't shifted, the buyer will be able to go in there and roll up the sleeves to make it better," Wright says. "From the overall market standpoint, it showcases the market appetite for value-added centers. Stabilized assets are in demand, but shopping centers that have some room to grow, whether through raising rent or occupancy, there's tremendous appetite for those types of deals in today's market."
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