Continental Realty Corporation (CRC) has acquired a 14-property US retail portfolio from US Properties Group in a deal IPE Real Assets understands to be worth around $200m (€170m).
CRC has acquired the 93% leased seven-state portfolio, which comprises more than 2m sqft of retail space.
The acquisition increases the US real estate investor’s national shopping centre portfolio to over 10.5m sqft and expands its footprint to 16 states. The portfolio, which also includes four assets in Ohio, represents CRC’s entry into the state.
JM Schapiro, CEO of Continental Realty Corporation, said: “This portfolio includes a number of well-performing assets with strong foot traffic and established tenancy, which we believe position the investment for continued stability and long-term performance.
“The transaction aligns perfectly with our overall investment strategy to invest in dominant centres featuring stable and internet-resistant tenant rosters, in areas with high barriers to entry and strong value-add potential.”
Josh Dinstein, CRC’s co-CIO, said: “Rising cost of living is driving more migration into secondary markets, increasing demand for necessity-based retail in these areas. These trends are creating opportunities beyond primary MSA’s where affordability and population growth will support long-term demand.
“Each asset is well positioned and aligns with our strategy of targeting strong submarkets with resilient retail fundamentals. This off-market transaction showcases the depth of our industry relationships and highlights our team’s ability to absorb a complex multi-state portfolio in an efficient manner.”
The assets include the Bechtle Crossing in Springfield, Ohio; Cherry Hill Plaza, Galax, Virginia; Collinsville Plaza in Collinsville, Illinois; the Cross Creek Plaza in Beaufort, South Carolina; Cypress Bay Plaza in Morehead City, North Carolina; and the Delaware Community Plaza in Delaware, Ohio.
The rest are the Franklin Square asset in Spartanburg, Georgia; Marion Towne Center in Marion, South Carolina; Mount Vernon Plaza in Mount Vernon, Ohio; Shoppes at Morrow Station in Morrow, Georgia, The Streets of Indian Lake, Hendersonville, Tennessee; Springfield Small Shops in Springfield, Ohio; the Suwanee Crossroads Shopping Center in Suwanee, Georgia; and the Walterboro Plaza in Walterboro, South Carolina.
CBRE’s Chris Decoufle and Kevin Hurley represented the seller in this transaction.
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