MONROE, MI-Cole Real Estate Investments has purchased the three-property Telegraph Plaza retail portfolio here for $12.9 million. Continental Properties Co. sold the 141,935-square-foot property for about $91 per square foot.
The 5-year-old property is anchored by Kohl’s, TJ Maxx and PetSmart, and is made up of three separate sites. Ashish Vakhariya with Marcus & Millichap represented the seller, and Scott Holmes with Cole handled the purchase.
Vakhariya tells GlobeSt.com that the plaza is 92% leased. “The Downriver market, including Monroe, is tight, there’s a lot of activity with a few new retailers,” he says.
The Detroit retail market, though weak along with all other property types, is holding its own at almost 12% vacant because of almost a complete lack of new construction and better hiring in the first half of 2011, according to a second quarter Marcus & Millichap report. Employment has grown by almost 14,000 new jobs in the area in the first half.
“There are some areas where things are overbuilt, but the lack of construction will help rents,” Vakhariya says. “Where there’s been the vacancies, such as the Circuit City and Borders boxes, I think we’ll be able to absorb those because there’s not any new supply.”
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