Suburban KC Lifestyle Center Changes Hands
- Jul 28, 2008
Arciterra Group L.L.C. has acquired a lifestyle shopping center in Olathe, Kan., for $29.3 million from Maefield Development Corp. The 289,400-square-foot property, Olathe Pointe, opened in 2006, but is not completely built out. “There’s still a great deal of buyer interest in Class A retail properties in good locations, and this property was no exception,” John Riser, a vice president of investments & senior director of Marcus & Millichap Real Estate Investment Services’ national retail group in Indianapolis, told CPN this morning. “In fact, there was widespread investor interest in it, including REITs and local shopping center owners.” Marcus & Millichap represented both the buyer and the seller in the transaction. In the end, Riser said, buyer Arciterra won out because it had strong financing already in place, and because it was willing to cooperate with the seller Maefield on the development of a 86,000-square-foot site on the property that the seller is retaining for future development. The shopping center’s location in Olathe also had a lot to do with the sale, noted Riser. A suburb of Kansas City, Olathe is one of the fast-growing cities in the nation, with the U.S. Census Bureau ranking it 24th in growth from 2000 to 2007. It has been the fastest-growing city in greater Kansas City over the same period, and is known for its strong employment base, which includes employers such as Sprint. Located at the southeast corner of 119th St. and Blackbob Rd., when complete Olathe Pointe will consist of two multi-tenant buildings on about 25 acres. The egg-shaped layout of the shopping center maximizes tenant visibility from the intersection, according to Riser. Some of the property’s tenants include Marshall’s, Home Goods, Michaels, Off Broadway Shoes, Ulta, Party America and Dressbarn. It also features a number of restaurant tenants, including HuHot Asian Grill, Five Guys Burgers & Fries and Cold Stone Creamery.