Macerich has sold La Encantada, a 246,000-square-foot retail center in Tucson, Arizona, for $165.3 million. The sale generated $100 million in incremental liquidity for the firm.

The sale of La Encantada is Macerich's second major sale in the Phoenix area this year. In March, the firm sold 95% of the Paradise Valley Mall for $95 million. A newly formed joint-venture partnership with an affiliate of RED Development purchased the property. The joint-venture partnership plans to develop a multi-year, multi-phased, mixed-use project at the 92-acre site, which is possible due to rezoning by the city in response to local demand. The redevelopment project will comprise high-end grocery, restaurants, multifamily space, offices, retail space and more. The property will feature equal parts residential and non-residential space, for a total 6.5 million square feet of occupied building area. Macerich will retain a 5% ownership stake in the building.

The two sales are examples of Macerich's plan to dispose of non-core assets. This year, the strategy has generated $200 million of incremental liquidity for the firm.