Alexander & Baldwin Takes 3 in Hawaii for $254M
- Feb 28, 2018
Alexander & Baldwin has acquired three retail centers in Hawaii from Terramar Retail Centers for $254 million: Laulani Village Shopping Center, Hokulei Village Shopping Center and Pu`unene Shopping Center. The acquisition is expected to be financed with proceeds from the sales of A&B’s final mainland commercial real estate properties and the assumption of a $62 million mortgage. Other asset sale proceeds and cash are expected to be used to finance the balance, or about 15 percent of the acquisition cost.
“All three of these centers are high-quality, newly constructed projects that provide convenience and value to their surrounding communities, much like the other centers in our Hawaiian portfolio,” said Lance Parker, chief real estate officer of A&B, in prepared remarks. “We are excited to work with our new tenants to help them succeed in serving their customers and neighborhoods, and we look forward to having these strategic assets in our portfolio attract new tenants to the islands.”
Laulani Village Shopping Center is located in Ewa Beach, Oahu. The 175,000-square-foot retail center is currently 95 percent leased to tenants including Safeway, Petco, Buffalo Wild Wings, Starbucks, Ross Stores, City Mill, Teddy’s Bigger Burgers and Panda Express.
Situated in Lihue, Kauai, Hokulei Village Shopping Center will serve as A&B’s first grocery-anchored retail center on the island. The property features 103,000 square feet that is 97 percent leased to tenants such as Safeway, American Savings Bank, Jack in the Box, Panda Express, Petco, Chevron and Dominos.
Lastly, Pu`unene Shopping Center can be found in Kahului, Maui, and was recently completed in 2017. The 113,000-square-foot retail center is collocated with the island’s only Target store. Other tenants include Ulta Beauty, Petco, Massage Envy, Verizon, Starbucks, Maui Tacos and Planet Fitness.
“The acquisition of these three centers enables us to complete the strategic migration of our commercial real estate portfolio from the U.S. mainland back to Hawaii. This reinvestment in our local communities has been aided by our conversion to a real estate investment trust last year, and we are pleased to bring these important centers under local ownership,” said Chris Benjamin, president & CEO of A&B, in prepared remarks.
Image courtesy of Google Earth