Highly Coveted Orlando Mall Hits the Market
- Apr 21, 2017
Transwestern has been retained to sell Sand Lake Corners North, a 151,487-square-foot, Class A community shopping center in Orlando.
The property, shadow-anchored by Wal-Mart, is located at 8115 – 8379 S. John Young Parkway in the area’s tourist corridor.
“The property offers extremely stable and predictable cash flow while potential exponential value upside once the Universal Studios’ site is developed,” John Bell, Transwestern’s managing director, told Commercial Property Executive. “The entire tourist corridor is evolving into a retail hub of Orlando for locals and growing tourist base.”
The community shopping center is currently 92.6 percent occupied with a majority of long-term leases from long-standing tenants. The site is embedded within Orlando’s greatest concentration of Class A office and distribution parks, SouthPark Center, which boasts 2.9 million square feet of office space spanning 176 acres.
According to Bell, the property is highly coveted as there’s not often space like this available in the market. The asset offers extremely attractive cash-on-cash returns due to favorable in-place financing as average rents for retail space in Orlando’s Tourist Corridor peaked 7.4 percent higher in the last cycle than today’s rents.
“It’s a gateway to the new Universal expansion site, which will transform the area upon development,” Bell said. “Currently, it’s at the high presence corner of one of the tourist corridors most heavily traveled intersections and future rent growth is anticipated.”
Originally constructed in 1999 and remodeled in 2005, Sand Lake Corners North is anchored by Old Time Pottery, PetSmart and Dollar Tree, with shadow anchors Wal-Mart Supercenter and Lowe’s Home Improvement Store. There’s also 11 shadow outparcels including 7-Eleven, Burger King, Goodyear Tire, Denny’s, Bead Time, McDonald’s, Discount Tire Co., Logan’s Roadhouse, Wendy’s, Dunkin’ Donuts, Five Guys and Speedway.
Sand Lake Corners North is ideally located at the doorstep of Universal Studio’s 474-acre expansion site that will inevitably be developed with entertainment and lodging, creating explosive employment drivers and growth to spike values for nearby properties.