by Evelyn Jozsa | Feb 16, 2018
Faris Lee Investments has arranged the sale of Southwood Village, a 66,958-square-foot neighborhood retail center in Torrance, Calif., for $21 million. Faris Lee worked on behalf of the seller, Big Shopping Centers USA and Triwell Properties represented the buyer, a private 1031-exchange investor based in the South Bay.
“This was a challenging transaction as an approximate $10 million CMBS loan on Southwood Village had to be assumed by the new buyer and subsequently required a large equity payment of $11 million resulting in less than a 50 percent LTV,” said Donald MacLellan, senior managing director at Faris Lee, in prepared remarks.
Located at the intersection of Palos Verdes and Sepulveda Boulevard, the asset occupies 5.5 acres in a densely populated area, and it is exposed to more than 38,000 vehicles per day. According to Yardi Matrix, approximately 180,000 people live within a three-mile radius with an $83,410 median household income. The retail center was built in the 1950s and was renovated in 2003. Southwood Village is 97 percent leased to tenants including Dollar Tree, Ace Hardware, Goodwill and Chevron. The center also benefits from the closely situated Redondo Beach and Palos Verdes Peninsula.
Faris Lee’s President & CEO Richard Chichester, together with MacLellan represented the seller in the transaction.
Last December, the company completed the sale of a 14,990-square-foot freestanding retail asset in Northglenn, Colo. for $6.1 million.