(EDITOR’S NOTE: According to sources familiar with the details of the transation, the shopping center sold for $91 million, or just over $389 per square foot. The seller was Grosvenor Americas.
Donahue Schriber declined to comment on the pricing due to a non-disclosure agreement but provided more context to the center’s appeal. “Over the next five to 10 years, we will be re-merchandising the center. The current vacancy of the property is 11 percent, which we hope to get leased up in the near future,” said Dave Mossman, executive vice president/chief investment officer for Donahue Schriber. The property has very strong regional demographics. The trade area for the asset is three to five miles with a population base of 208,000 for three miles and 498,000 for five miles surrounding the center. The median income is $103,000 for three miles and $101,000 for five miles, according to Mossman.)
SAN JOSE, Calif.–Donahue Schriber Realty Group, a West Coast owner, operator, and developer of neighborhood, community, and power shopping centers announced the off-market acquisition of Westgate West Shopping Center located at the corner of Lawrence Expressway and Prospect Road in San Jose, California. The 233,813 square-foot retail property is anchored by Trader Joe’s, Orchard Supply Hardware (OSH), CVS Pharmacy, Ethan Allen, and Smart & Final.
Executive Vice President-Chief Investment Officer Dave Mossman stated, “Westgate West is in perfect alignment with Donahue Schriber’s strategy of expanding its presence in high barriers to entry core markets from San Diego to Seattle. The team at Grosvenor Americas was responsive and flexible throughout the entire due diligence process, and Craig Zarro of Preferred Capital Advisors played an instrumental role in capitalizing the acquisition with a new loan from Wells Fargo Bank N.A. We were very impressed with Wells’ ability to close the transaction in such an expedited manner. Donahue Schriber is now focused on enhancing the center’s already strong lineup of existing merchants.”
About Donahue Schriber Realty Group
Donahue Schriber Realty Group is a privately-held Real Estate Investment Trust (REIT) with 65 shopping centers representing over 11 million square feet of retail space throughout California, Nevada, Oregon, and Washington. For more information about the company, visit DonahueSchriber.