Regency Centers, Partner Buy Seven Community Retail Centers

Regency Centers Corp. and its co-investment partner, the Oregon Public Employees Retirement Fund, have acquired seven grocery-anchored retail centers in California and the Southeast. Aggregate value of the properties, which total 482,000 square feet, is $76.6 million. Regency will own 20 percent of the properties. The properties are:*  King Plaza, Atlanta, anchored by Publix, 81,400 square feet*  Island Crossing; Port St. Lucie/Ft. Pierce, Fla.; anchor: Publix; 58,400 square feet*  Lost Mountain Shopping Center, Atlanta, anchor: Publix, 72,500 square feet*  Surfside Beach Commons; Myrtle Beach, S.C.; anchor: Bi-Lo; 62,800 square feet*  Highland Knolls, Houston, anchor: Randall’s, 87,400 square feet*  Raley’s Supermarket; Sacramento, Calif.; anchor: Raley’s; 59,900 square feet*  Cochran Commons; Charlotte, N.C.; anchor: Harris Teeter; 60,000 square feet Six of the properties were a portfolio purchase at a cap rate of 7.0 percent. The seventh, Cochran Commons, was acquired at a 6.6 percent cap rate. On five of the properties, the partnership has locked interest rate on 10-year, interest-only debt at an all-in coupon rate of 5.95 percent. This debt, representing 50 percent LTV, is expected to close within 60 days.  In a separate transaction (not involving OPERF), Regency contributed three of its own developed retail centers into its open–end fund, Regency Retail Partners LP.  *  Phase II of Falcon Ridge Town Center; Riverside, Calif.; anchors: CVS and 24 Hour Fitness; gross price $26.9 million.*  Fortuna; Washington, D.C., area; anchor: Shoppers Food Warehouse; gross price of $20.1 million.*  Additional phase of Orchards Market Center; Vancouver, Wash.; anchors: PETCO and Jo-Ann Fabrics; gross price $9.5 million.