Deals

For landlords and tenants alike, co-tenancy provisions are among the most important pieces of the retail-leasing puzzle. The right mix of tenants can create powerful synergies. For a retail tenant, the stakes are high: the right neighbors can mean the difference between success and failure. Consequently, understanding the different types of co-tenancy clauses, becoming familiar with the nuances and negotiations that accompany their inclusion in a standard lease, and appreciating the concerns and considerations that make them so important should be a priority for any retailer.

Adam Cummings, an 18-year veteran of retail leasing, has been named senior VP and retail occupier practice leader at CBRE. Cummings will direct retail representation in the mall sector.   The company also announced the return of Matt Kircher as managing director and executive VP of its San Francisco office. Kircher began his real estate caeer at CBRE in the 1990s.  

Olshan Properties will pay tribute to the new president-elect and fellow developer Donald Trump at the International Council of Shopping Centers New York Deal Making show, which kicks off at the Javits Center on Monday.   Staffers at the Olshan booth will be sporting blue “Make Retail Great Again” baseball caps as they promote a message, said a release, of elevating retail to bring local communities together by connecting with their hometown shopping centers.  

McLean, Virginia-based S2 Capital Partners has purchased an 8-acre center on the outskirts of Richmond with plans to build it out to its full potential.   The company paid $12 million for the 52,000-sq.-ft. Stonebridge Marketplace, and principal Rob Seidel told Richmond Biz Sense that it plans to add 7,200-sq.-ft. and 8,400-sq.-ft. buildings to fill out the strip that fronts a 123,000-sq.-ft. Kroger Marketplace.   Current tenants include Firestone, Panda Express, Mattress Firm, Qdoba, and AT&T.

VEREIT has purchased a 10.5-acre Sam’s Club property in Timonium, Maryland—just north of Baltimore — for $18.3 million in cash.   “The seller was able to secure an early lease extension prior to the sale, which created a well-positioned, long-term passive investment for the new ownership,” said Jon Busse, Senior VP at Colliers International, which handled the deal on behalf of the seller, Diamond Timonium LLC.  

University Towne Center in Gainesville, Florida, has been sold at auction to Pacific West Land for $2.8 million. Crossman & Company negotiated the deal on behalf of the seller, a south Florida special servicer.   The 18,496-sq.-ft. center is close to the University of Florida campus and to Butler’s sprawling retail complex, which is itself expanding with a town center called The Neighborhoods at Butler.   

Floor & Décor has signed a lease for a 74,200-sq.ft. superstore at the planned Richmond Plaza in Woodbridge, New Jersey. The site is located within the super-regional trade area commanded by General Growth Properties’ Woodbridge Mall.  

Quincy Plaza in Ottumwa, Iowa, was purchased by Beaumont, Texas-based Albanese Cormier Holdings for $5.5 million. Mid-America Real Estate brokered the deal on behalf of a fund managed by Cincinnati-based Phillips Edison.   The 137,389-sq.-ft center is anchored by Kmart, Hobby Lobby, and Rent-A-Center in the southern Iowa retail hub on the Des Moines River. Quincy Plaza is located across the roadway from Target and the Quincy Place Mall.

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Neptune/6th, a redevelopment of the former site of Trump Village Shopping Center and the Royal Palace Baths in Brooklyn’s Coney Island section, has secured leases from CVS and Apple Bank as it looks toward a summer 2017 opening of its first phase. Cammeby’s is the developer.   That phase will include 161,000 sq. ft. of retail, office, and parking in a standalone space across from the old Trump Village site. Three further phases will add 165,000 sq. ft. of retail and parking and a 575-unit residential tower.  

Levin Management president Matthew Harding says 2016 has been an especially active year for new retail leases. Over the past nine months, he reports his company handled leasing activity for more than 500,000 sq. ft. — over 400,000 sq. ft. of that in retail.