Group Grabs Sandburg Mall With Low-Cost Deal

GALESBURG, IL-A group of out-of-state investors led by Mike Kohan has purchased the Sandburg Mall, at 1150 W. Carl Sandburg Dr. The group, called Sandburg Realty Management LLC, bought the property for $3.3 million, sources say.

The buyers had been looking at opportunities both in the Midwest and on the East Coast and were attracted by the price and that the anchors were fully leased, says Donald Shapiro, president of Foresite, which was the disposition agent for the mall. “They felt that for the price per sf that they could buy the property at, it was a good value and opportunity,” he says.

Foresite Realty Partners sold the mall on behalf of Equity Properties and Development LLC, sources said. The sale included 428,000 sf of the 521,364-sf building. K-Mart, which is owned by a third-party, was not included in the sale, Shapiro says. The property was repossessed from the previous owner last year. It had been for sale since May 2006 at which point Foresite, along with Guggenheim Inc., were brought in as the exclusive managing, leasing and disposition agent.