The 106,843-sf shopping center, located just off Rte. 78 at the intersection of Hamilton Blvd. and Haines Mill Rd., was built in 1970. It was 93% occupied at the close of the sale, and a representative in the Philadelphia office of Marcus & Millichap tells GlobeSt.com the asking rent rate is $10.30 per sf.
Dean Zang, an associate, and Mark Taylor, a senior investment associate in that office, represented the seller. Seth Pollack of M&M's Elmwood Park, NJ office procured and represented they buyer.
"This shopping center is ideal for an investor seeking a well-located asset with continual upside through rent growth as this marketplace matures," says Zang. Because of the size of the property and lower-than-average price per sf, he says, "numerous private investors were interested in the offering." The median price for multi-tenant retail in the Greater Philadelphia MSA is $140 per sf, and this sold for $134 per sf.
In two weeks of marketing, Zang says there were more than a half-dozen offers, and the final price was $300,000 above list at a cap rate of slightly more than 7.4%. It was a 1031 exchange transaction.
The tenants are primarily neighborhood retailers and include Alexia's Nail Salon, Home Care Supply, Bounce U, Body Elite, Leaning Edge Karate Inc., Citi Financial, Jungle Fun, Dorneyville Beverage, Gallery Billiard, Foo Joy Chinese restaurant and Carpet Outlet along with the national chains of Subway and Super Cuts.
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