IRVINE, Calif.– Faris Lee Investments, a leading retail advisory and investment sales firm, has completed the portfolio sale of two fully occupied lifestyle and entertainment retail centers in Kenwood, an affluent suburb of Cincinnati, OH, for a total of just over $32 million. The properties, which are located across the street from each other, include Kenwood Pavilion and Kenwood City Place.
Donald MacLellan, Richard Chichester, Chris DePierro, and Tom Chichester of Faris Lee Investments represented the seller, a joint venture between Cincinnati-based Jeffrey R Anderson Real Estate and Kentucky-based P&P RE, LLC, as well as the buyer, Colorado-based GDA Real Estate Services, LLC. GDA was in a 1031 Exchange.
“Faris Lee marketed the two properties separately, but we stressed the benefits of the synergy and cross services the various retailers provided to the local community. Kenwood City Place contained several high-end, successful restaurant operators including one of the nation’s hottest concepts, Coopers Hawk Winery and Restaurant,” said MacLellan, senior managing partner with Faris Lee Investments. “As part of our marketing outreach strategy we focused on the property’s location within one of Ohio’s top retail markets, as well as the prevalence of institutional commercial real estate ownership in the Kenwood submarket, which includes major owners such as Duke Realty, General Growth Properties, Phillips Edison and Blackstone.”
Adding to the presence of institutional ownership specifically in the retail property sector, the properties are situated near the highly successful Kenwood Towne Center, a 1.2 million-square-foot regional shopping center that is anchored by Nordstrom, Dillard’s and Macy’s. It is considered to be one of the crown jewels of General Growth Properties’ US mall portfolio.
“Over the years, Faris Lee has built a vast national and international investor database and has developed long-term relationships with a wide range of investor pools from large institutions to family offices,” commented Richard Chichester, president and CEO of Faris Lee Investments. “Our strategic outreach on this property, combined with a solid market location created a bidding war resulting in multiple offers for the properties separately and as a portfolio. Ultimately, we procured a national investor in a 1031 exchange that had an interest in a long-term investment in the trade area.”
The retail centers are situated in an affluent community with good economic fundamentals including strong job growth, low unemployment and high disposable incomes. The trade area includes approximately 150,000 permanent residents and 130,000 daytime employees. Within a three-mile radius, the average household income is north of $90,000.
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.