May 18, 2017
Retail center Creekwalk Village in Plano, TX sold for $24.5 million. The sale of the nearly 175,000-square-foot project was facilited by SRS Real Estate Partners’ Chris Tramontano and John Redfield. Connect Media spoke with SRS about transaction details and highlights.
Q: With the nature of big-box retailers in today’s commercial real estate market, what escrow challenges did SRS encounter and overcome during the sale of Creekwalk Village?
A: SRS faced significant challenges during escrow; multiple tenants announced they were not renewing at their lease expiration, along with capital repair cost estimates, changing the dynamic of the investment all while still moving forward with the original selected buyer.
SRS utilized its national presence and local leasing expertise to source and position the most qualified buyer, and produced multiple competitive offers from a wide range of qualified investors, both institutional and private. SRS’s national network of buyers, along with in-depth knowledge of the local trade area facilitated by local SRS Brokers, were combined to secure an all cash buyer, which allowed for flexibility regarding current and future tenancy and re-positioning, allowing for a quick close.
Q: There’s an emerging narrative surrounding the projected longevity of the retail industry. How does the sale of Creekwalk Village add to that conversation?
A: Brick & mortar is not dead! Even though big-box tenants may be downsizing, Creekwalk Village presents a unique opportunity for the new owner to downsize, reposition, diversify and ultimately upgrade tenancy at a very well located shopping center with strong historical occupancy.
When an industry goes through significant change, as retail currently is with e-commerce, this can create major opportunities and healthy returns for investors that can be innovative and stay in front of the curve.
Q: Creekwalk Village offered a major opportunity in a dense, affluent region. What were some transaction highlights?
A: Southern California seller and East Coast buyer – SRS utilized its national presence to match the most qualified buyer to purchase the property. Produced multiple competitive offers from qualified investors, both institutional and private, through call for offers process. All-cash buyer allowed for flexibility when tenancy complications arose and quick close.
For questions, comments or concerns, please contact Lindsey Allen