Irvine, CA (February 4, 2020) - Faris Lee Investments, a leading retail advisory, and investment sales firm, has completed the $17.65 million sale of Brea Center , a grocery anchored center in Orange County, CA and the $8.50 million sale of Carefree Shopping Center, a grocery anchored center in Colorado Springs.
Brea Center is the primary grocery-anchored center that serves the North Brea submarket. Anchored by Vons, the center is comprised of a mix of daily needs and service-oriented tenants including Bank of America, Pet Wants, a new fitness concept – Ausletics, and Painted Nest, a popular long-standing hair salon relocating to Brea Center
Don MacLellan, Senior Managing Partner, Rick Chichester, CEO & president, and Jeremy Warren, Director represented the seller.
The challenge to sell this property was to find a buyer comfortable with the grocery’s small-format concept.
“Faris Lee was able to overcome the market concern by focusing on Vons increasing annual sales over the last several years. Vons registered a 10% growth over the last several years which proved the strength of the trade area. Being the only grocery-anchored center in the trade area provides strong customer daily traffic. The combination of location, tenant-mix, and strong local fundamentals establishes the property’s optimal position within the trade area,” says Don MacLellan.
Through its strategic positioning and marketing which emphasized the quality of the real estate and the strong consumer demand, Faris Lee Investments generated multiple offers and attracted various investor profiles. The team procured a highly credible 1031 exchange investor who was able to close within the seller’s expected timeframe.
Carefree Shopping Center is a grocery-anchored neighborhood center serving the Colorado Springs market. Anchored by Save-a-Lot & Family Dollar , the center is comprised of a mix of daily needs services oriented tenants like Carefree Chiropractic, Appliance Outlet , Pizza Hut, and a Laundry Lounge to name a few.
The Center, 62% occupied, had tremendous value-add potential and was priced well below replacement cost at $77 psf. The challenge to sell this property was that the major tenant, Save-a-Lot, went dark during the escrow period and transitioned to Colorado Ranch Market. Even though, the new tenant was better suited for the demographics surrounded the center, it created uncertainty on performance. The layout of the center also presented some challenges as well as the unknown demand for the remaining vacant Jr. Anchor.
Don MacLellan, Senior Managing Partner, Rick Chichester, CEO & president, Phil Ramming, Senior Managing Director, and Jeremy Warren, Director represented the seller Sabal Capital Group.
“Faris Lee Investment focused its marketing strategy around the significant amount of leasing activity occurring at the site over the last couple of years which was a testament to the quality of the real estate. This strategy gave confidence to the interested buyers”, said Rick Chichester.
Based on an aggressive strategic marketing campaign, Faris Lee Investments was able to generated tremendous investor interest resulting in multiple offers. The eventual buyer was a highly qualified local group that Faris Lee vetted out extensively. They were able to navigate through the various issues during escrow and still close within the seller’s objectives.
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 affiliation 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
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Faris Lee Brokers Sales of Two Retail Assets in Southern California, Colorado Springs