LONG BEACH, Calif.--()--Terramar Retail Centers announced today the $42.2 million acquisition of Spring Street Pavilion, a 93,873-square-foot neighborhood retail center in Long Beach, California from The Weingart Foundation. Located on a full city block along Spring Street, bounded by Los Coyotes and Woodruff Avenue, and one half-mile north of the I-405 freeway, it is centrally located in a mature and densely populated neighborhood in Long Beach, California’s seventh largest city.
“Located in the heart of a mature residential community and minutes from California State University Long Beach, and Long Beach Airport, it has maintained high occupancy and a stable revenue stream throughout the market downturn.”
“This is a strategic addition to Terramar’s retail portfolio. Grocery-anchored retail centers, like Spring Street Pavilion, are solid performers and a top target for Terramar as we continue an aggressive expansion of our portfolio,” said Steve Bowers, President and CEO, Terramar Retail Centers. “Long Beach is experiencing prolific growth and the center has a dominant location in a region with very strong demographics and a large customer base.”
Spring Street Pavilion, built in 1988, is currently 95% occupied. It is anchored by a 58,654-square-foot Pavilions, with an additional 18 neighborhood-serving shops and restaurants including Panda Express, The Coffee Bean and Tea Leaf, Leslie’s Pool Supply, and Circle K/ Mobil Gas Station. The Pavilions store, a subsidiary of Safeway Inc., (NYSE:SWY), is a top-tier grocery known for providing a quality customer experience and a wide array of gourmet, organic and specialty items. Pavilions also provides online ordering and same day delivery to nearby customers. This feature sets the store apart from the neighboring competition and gives it a competitive edge in this market.
“Spring Street Pavilion is a well-established and popular neighborhood center with many of its tenants located here for 10 years or more. In addition, this Pavilions is among the top producing grocery stores in the area,” noted Matthew W. Smith, Vice President of Acquisitions for Terramar Retail Centers. “Located in the heart of a mature residential community and minutes from California State University Long Beach, and Long Beach Airport, it has maintained high occupancy and a stable revenue stream throughout the market downturn.”
Terramar will manage and lease Spring Street Pavilion from its Los Angeles office. Terramar is actively expanding its retail portfolio through acquisitions, new developments and redevelopments in select markets it has targeted in the Western United States.
Chris Hoffmann, Rob Wehmueller, and Thao Tran of Eastdil Secured marketed the property on behalf of The Weingart Foundation to a select group of institutional buyers. Terramar represented itself in the transaction.
About Terramar Retail Centers
Terramar Retail Centers is a privately held commercial investment, management and development company. Since its founding in 1996, it has acquired and managed more than 6.5 million square feet of retail properties. Terramar is currently under construction on The Headquarters, at Seaport District, a restoration and reinvention of the historic 1930’s-era Police Headquarters property into a premier 100,000-square-foot open-air restaurant and retail destination on the waterfront in the Seaport District of San Diego, adjacent to the company’s expansive Seaport Village. Terramar currently owns and operates 24 neighborhood, community, specialty and power centers totaling more than 3.6 million square feet in the Western United States.