Faris Lee Investments, a leading retail advisory, and investment sales firm, has completed with the collaboration of its X-Team partner Trio Commercial Property Group the $10.9 million (7.33% Cap) sale of the Shops Venue in Irvine, CA.
Rick Chichester, President and CEO and Joe Chichester, Managing Directors with Faris Lee Investments, represented the seller, a local private investor, and developer.
Formerly occupied by a circuit city and Rafferty’s, the site was demolished and transformed into two strip centers connected by a courtyard with outdoor seating, lighting, and landscaping.
Completed in 2017, the newly developed strip centers, located in the LaFayette Submarket along the highway 4 connecting to Downtown Lexington, offer a neighborhood focus and a mix of services-oriented boutique concepts gathered to neighborhood convenience.
With consumptions habits evolving; retailers are adapting by choosing smaller footprints for added intimacy and experience. The Shops Venue is perfectly aligned with this evolving trend as it presents the perfect opportunity for new brands to serve their nearby neighborhood and create a sense of community. The Shops Venue has attracted strong internet resistant daily needs regional/national tenants including a daycare facility, fitness center, barbershop, and local coffee shop.
Through its strategic partnership with Trio Commercial Real Estate, the local market expert within the Lexington MSA, Faris Lee Investments was able to provide additional value to the transaction from a tenant and market rent perspective.
“Trio helped Buyers become comfortable from a “ground level” perspective and were able to offer a concise understanding of the local tenant activity and market rents,” said Joe Chichester.
Faris Lee Investments sourced the buyer who pooled the Shops Venue with other assets into a fund north of $20 million closing the transaction simultaneously. The Buyer put approximately 30% down and financed the remainder with conduit debt through Wells Fargo.
“At Faris Lee Investments, we have the retail expertise and unique vision to maximize the value and successfully position any given asset. Having a specific business plan upfront along with a strategic partnership with a local market expert, we were able to achieve the lowest cap rate (7.33%) for a strip center in the state of Kentucky in 2019,” said Matt Brooks.
About Faris Lee Investments: Faris Lee Investments is a national leading retail advisory and investment sales firm. The company’s high-level retail investment advisors and sophisticated financing experts develop forward-thinking strategies for all retail acquisitions and dispositions and guide clients through complex transactions. Through its recent strategic partnership with X-Team Retail Advisors, a nationwide partnership of seasoned retail leasing experts, Faris Lee offers a fully integrated platform with disciplined expertise in landlord leasing, tenant representation, capital markets, and investment sales to maximize value for clients.
For more information, visit www.farislee.com