Becker Properties Nabs San Diego Shopping Center for $10M
- Dec 05, 2017
Becker Properties has completed its fourth retail acquisition in San Diego County during the past 24 months. The newest addition to its portfolio is Riverdale Shopping Center, a 66,416-square-foot property located in the Mission Gorge of San Diego submarket. Becker bought the CVS-anchored retail center for $10.1 million, from a joint partnership advised by investment firm SENTRE. The partnership includes Peckham Properties Inc., Commercial Sites Ltd. and Wells Fargo Bank as trustee of McKinney Survivor’s Trust.
The 1980-built Riverdale Shopping Center is located at 10320-10370 Friars Road on a 10.2-acre lot. It is fully leased to a number of firms from the food, service and retail sectors, such as Black Angus and Armstrong Nursery.
“The shopping center is an infill property and 50 percent of the tenants have been on the property for more than 20 years,” said Brad Becker, principal of Becker Properties, in prepared remarks. “The sales volume for the tenants are excellent, the rents are well below market, and there is an opportunity to refresh the appearance and tenant mix in the near future.”
CBRE Executive Vice President Philip Vorhees worked with Senior Vice President Reg Kobzi from the National Retail Partners-West (NRP-West) on behalf of the seller. The NRP-West team of brokers also included Vice President Jimmy Slusher, Director Kirk Brummer, First Vice President Megan Wood and Real Estate Analyst Sean Heitzler. Kobzi also represented the buyer in the deal.
The transaction comes at a time when average retail rates in San Diego are at their peak since the recession, according to Kobzi.
“The San Diego retail market fundamentals remained positive in the third quarter of 2017, as average asking rates increased $0.01 quarter-over-quarter to $2.29 triple net, the highest rate since the recession. Due to strong net absorption, total vacancy rates declined 20 basis points quarter-over-quarter to 4.8 percent,” he said in a prepared statement.
Image courtesy of CBRE