LOS ANGELES—Vornado Realty Trust of New Jersey, a fully integrated REIT, has entered into an agreement to sell the Beverly Connection shopping center for $260 million. Vornado did not reveal the buyer’s name, but according to industry sources unrelated to the deal, the buyer is Ashkenazy Acquisition Corp.
The sale transaction in expected to close in the third quarter of this year. The property is unencumbered, and Vornado will earn $40 million net gain from the transaction. The company could not comment further on the deal.
Located in the Beverly Grove neighborhood of Hollywood, Beverly Connection is a 335,000-square-foot power shopping center with several major tenants, including Old Navy, Nordstrom Rack, Men’s Warehouse and Marshalls. Beverly Grove is one of a few central Los Angeles neighborhood pockets that have seen a tremendous amount of retail development. The adjacent West Melrose is another that is attracting major development. For example, last week, GlobeSt.com reported that Faring Capital will complete construction of its 17,595-square-foot West Melrose shopping center in the summer, and has chosen RKF to launch leasing efforts for the property.
Vornado has sold a handful of shopping centers throughout the country in the last few months, including the Springfield Town Center in Springfield, VA, for $465 million to Pennsylvania REIT.