Paul Sleeth of Colliers International who brokered the deal tells GlobeSt the sales price for Greentree Plaza, located at 305-505 Everett Mall Way, was $8.875 million. The acquisition price for Park Manor, at 3212 NW Ave. in Bellingham was for $2.288 million.

So ended 2001, a retail investment year Sleeth refers to as "good." As for what the market can expect in the coming year, Sleeth says is the "$64,000 question," given that indicators and opinions are providing mixed messages.

Elaborating, the broker says, "So far, the word on the street, rumor, gut-feel, what-have-you, is that we'll be seeing a slowdown in retail investments." Conversely, Sleeth says so far the expected slowing has yet to fully materialize. And, while numbers posted by retailers have been week and the market has seen some bankruptcies, Sleeth says they've not yet reached critical mass.

"The next six months will be interesting," he predicts. "There are some transactions that are under contract right now, and in the first and second quarters of this year that could provide for a decent first half," says Sleeth while peering into his crystal ball. Then the future seems less clear as he adds, "How many of those will actually close, I don't know. There is also still some potential for portfolio play out there, particularly in grocery-anchored and unanchored strips."

A big factor for 2002's deal flow, says Sleeth, is the path of interest rates—which have seen some upward movement of late. Up upward movement of one-half to three-quarters of a point from current rates Sleeth says would have a dramatic effect on deal flow. "Even another 25 to 40 basis points would affect the market—but half to three-quarters would knock us really hard," he says.

In Sleeth's opinion, the market is fortunate in that it is not in an "over-built" state. "Centers are holding their own," he says. To summarize is view of the market in a nutshell, Sleeth says, "I'm pretty optimistic, but we're not out of the woods yet.

Instant Insights /

2001 Retail Investment Ends Well; 2002 is Anyone's Guess

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