Newmark sells Village at Augusta Ranch to Mesa for $ 9.7 million
Newmark announced that it has finalized the sale of Village at Augusta Ranch, a 25,714 square foot shopping center anchored in the shadow of the grocery store in Mesa, Ariz., For $ 9.7 million. Senior Managing Directors of Newmark Jesse Goldsmith and Steve julius and associate director Chase dorsett represented both the seller, Village Augusta SPE, LLC, and the buyer, Alan Development, LLC.
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The buyer, Alan Development LLC, is a Tampa, Florida-based developer who has historically focused on residential and commercial projects in the Tampa area. This purchase is Alan Development’s first investment outside of the Tampa area. The buyer’s interest in this transaction is a testament to the strong retail demand in Arizona as this asset was selected from opportunities in strong retail markets such as Atlanta, Nashville, Houston, Austin and Dallas. Alan Development was extremely satisfied with the successful execution of the transaction led by the Newmark team.
“Arizona shadow grocery transactions remain in unusually high demand,” Goldsmith said. “After several offers on this transaction, we were able to work with an excellent exchange buyer. Both seller and buyer executed the transaction in a world-class manner. We felt honored to work with both parties.
The Newmark team has a strong and long-standing relationship with the seller. Village Augusta SPE is a Newport Beach, Calif., Based investor who originally purchased Village at Augusta Ranch in 2016, working with Julius, Goldsmith and Dorsett on the transaction. While the center has strengthened over the years thanks to favorable market fundamentals, the team has returned the asset to market at an aggressive price structure. The seller also praised the successful execution of the transaction carried out by the Newmark team.
The Village at Augusta Ranch is a 16-tenant, 96% occupied mall located at 9221 and 9303 East Baseline Road in Mesa, Arizona. The property is anchored in the shadow of an Albertson grocery store, the most powerful grocer within a 3 mile radius. Located just 0.1 mile south of I-60, the mall has a direct exit onto Ellsworth Road and experiences high daily traffic in the parking lot. The property, built in 2001, measures 25,714 square feet and covers just over 3 acres of land. Major national tenants of the property include Subway, Simply Tan, American Family Insurance, The UPS Store, Supercuts, and Mathnasium.
The second largest city in the Greater Phoenix Metro, Mesa has more than 500,000 full-time residents, mostly suburban families. The submarket has high-tech and advanced manufacturing employers, including Boeing, FUJIFILM, and Mitel. Recently, two Fortune 500 tech companies announced plans to build multibillion-dollar data and tech centers in the submarket, and WageWorks announced it would relocate 1,000 employees to the region. Mesa benefits from its proximity to Arizona State University and the rapid migration and expansion of businesses in Tempe and Gilbert. Mesa has easy access to some of the state’s best outdoor and nature attractions, including the Superstition Mountains, the Salt Lake River, and Theodore Roosevelt Lake.