"The investor market is not as transparent as it once was," says NewBridge principal Gary T. Saykaly. "Finding the most aggressive buyer often entails working with CPAs, lawyers, financial planners and 1031 Exchange intermediaries in each of the markets of the asset's region."

NewBridge's strategy has been to "control the capital raising, which allowed us to maintain momentum and minimize potential issues and price deductions," the consultant says.

Saykaly says that "as investors fleeing the stock market seek the higher returns of the commercial real estate market, we could see cap rates go even lower for quality assets, assuming the debt markets remain at current levels." He says, however, "increased creativity is required to minimize the bid/ask spread of class B and C retail assets."

Saykaly and Van Barron, also a NewBridge principal, have seen cap rates last year in the 7% to 10% range, they say in their newly published Capital Markets Review in Shopping Center Business. The range "does not represent an absolute low or high," Van Barron says. "It's difficult to quote exact ranges."

Assets NewBridge sold in 2002 were Georgetown Landing, Georgetown, SC; Wellington Marketplace, Wellington, FL; Shoppes at Hickory Hollow, Nashville, TN; Ocean East Mall, Stuart, FL; Middleburg Crossings, Middleburg, FL; Cox Creek Centre, Florence, AL; River Bridge Centre, West Palm Beach, FL; Retreat Village, St. Simon, GA; Outparcel Portfolio, Washington, DC.

NewBridge is negotiating sales deals on six anchored shopping centers in the Southeast, including four grocery-anchored properties in Florida (Miami, Naples, Tampa, Jacksonville); one big-box center in Greenville, SC; and a portfolio of single-tenant leases.

"By providing sellers a cost-effective, minimal effort way to achieve the highest sales price from a credible buyer, we have been able to consistently broaden our client base," Barron says.