PHOENIX-Partners Cole Real Estate Investments and RED Development have acquired 50% interest from Macerich in two retail power centers located in Chandler, AZ and 100% ownership from Macerich of a third power center in Gilbert, AZ. The transaction value for all three properties was $100.5 million.
The JV paid $31 million for its ownership interest in the 365,000-square-foot Chandler Festival at Loop 101 and West Chandler Boulevard and $14.8 million for interest in the 130,000-square-foot Chandler Village Center on West Frye Road. RED will serve as onsite property manager and leasing agent for both assets.
Cole paid $54.8 million for ownership rights to the 284,000-square-foot SanTan Marketplace at SanTan Village Parkway and South Market Street. RED will oversee leasing activities, while Cole will handle the property management.
“These power centers are all primary retail destinations in the Southeast Phoenix trade area and capitalize on the synergy and traffic of nearby regional malls,” said Thomas W. Roberts, executive vice president and head of real estate investments at Cole in a press release. “Each of these properties is anchored by nationally recognized, creditworthy retailers contributing solid fundamentals to our portfolio of core retail assets.”
“We are pleased to grow our portfolio to include Chandler Festival and Chandler Village Center, two high-quality, high-performing assets located in a very strong market where RED has developed three retail properties,” said Mike Ebert, managing partner at RED in a prepared statement.
Representatives involved with the deal were not immediately available for comment.
Cole was represented internally by Chuck Vogel, senior vice president, real estate joint ventures and Clint Marchuk, senior director of acquisitions. RED was represented by its vice president of acquisition and development, Barry Shannahan.