April 15, 2015, Irvine, CA — Faris Lee Investments, a leading retail advisory and investment sales firm, has completed the $15.075 million sale of Payson Village Center in Payson, Ariz. The grocery-anchored center includes Bashas’, a well-established Arizona grocery operator. The center totals 140,500 square feet on nearly 16 acres and is ideally located in the center of town at Payson’s busiest intersection of Highway 87 and Highway 260.
Christopher Tramontano, managing director, and Donald MacLellan, senior managing director, with Faris Lee Investments represented the buyer, Progression Real Estate Investments, as well as the seller, Hirani Oil Foundation.
Faris Lee marketed the property as a fundamentally stable investment and the best-located grocery-anchored center in the trade area providing a competitive advantage. The firm received strong offer activity from private as well as more institutional-oriented investors.
“Payson Village was 87 percent occupied at the close of escrow and offered an investor the opportunity to add value through lease-up of vacant space, development of a well-located outparcel to the center, and procure historically low interest rate debt,” said MacLellan.
Tramontano noted that anchor tenant, Bashas’, is a regional grocer that has doubled in size over the last decade at Payson Village. “Bashas’ is not only a long-term tenant, the store recently completed an interior renovation of its space as further testimony to its success and commitment to its solid location. Investors were able to really see the value in this property as it offers all the fundamentals that make it a sound investment.”
Other tenants at Payson Village include Dollar Tree, Big 5, Native Grill, Jiffy Lube, and Arby’s – all of which are doing well in the center. In the coming years, the center’s tenants and new ownership will enjoy additional residential development in progress, as well as a proposed 250-acre Arizona State University satellite campus just East of Payson Village with a projected student population of approximately 6,000, with additional employees and faculty. Plans for the campus are in early stages and currently include a research center, student housing, and a convention center.
About Faris Lee Investments: Faris Lee Investments is a 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. Cumulatively, Faris Lee’s leadership has been involved in more than $20 billion of transactions. Faris Lee’s senior advisors are skilled in disposition and acquisition strategies, asset positioning and valuation, marketing, debt and equity structuring, strategic workout and REO solutions and execution. For more information, visit www.farislee.com.