DLC makes its second big center purchase in a week
DLC’s shopping spree continues.
Earlier this week, Chain Store Age reported that the Elmsford, NY-based owner-operator of some 70 open-air centers acquired two properties totaling more than 400,000 sq. ft. in Arkansas. Today, DLC announced its $86 million purchase of another 400,000-sq.-ft. property--Colony Place in Plymouth, Mass.
”We had seen the current situation of the lack of new retail construction coming for a long time, and we have been hyper-focused on acquiring properties in secondary and tertiary markets that have below-market rents,” said DLC’s founder and CEO Adam Ifshin.
“Located midway between Boston and Cape Cod, the center is a trophy asset in the Boston market with no direct comparable shopping centers Old leases are aging out, and that gives us the opportunity to improve tenancy and trade up,” Ifshin added.
Shadow-anchored by a Walmart, Colony Place’s key retail tenants include Aldi, Dick’s Sporting Goods, Old Navy, Ulta, Burlington, Bath & Body Works, and Mattress Firm. Its food-and-beverage menu lists Moe’s Southwest Grill, Panera Bread, Olive Garden, and Francisco Taco and Tequila.
According to DLC, Colony Place received 5 million visits from 612,700 unique visitors in 2023. The company also noted that the center’s average visit time is 54 minutes and that visits increased by more than 20% over the last three years.
This transaction is DLC’s first with Principal Asset Management acting as adviser. The acquisition marks DLC’s second deal made along with Temerity Strategic Partners. In December 2023, TSP and DLC launched a venture to support DLC with growth capital enabling DLC to double the size of its portfolio by 2025.
“While the current rate environment has made other investors step aside, at DLC we’re stepping up,” Ifshin declared. “This deal is just the latest in a string of activity with the focus on high-quality centers where, utilizing our elite team, we can enhance the customer experience by curating a superior merchandising mix.”