Located in the southeast part of Charlotte in the Mathews Township, the property is anchored by Sam's Club (Wal-Mart Stores), Kohl's, Office Depot, Media Play (Best Buy), Burlington Coat Factory, Goody's and Hamrick's. The anchor tenants provide 80% of the property's net income. The property was 90% leased at the time of sale.

Sterling Co-Chairman and Co-CEO A. David Kosoy tells GlobeSt.com that the upside is in the leases of three anchor tenants' whose terms are running out over the next four years, and whose lease rates are currently less than half of market, which is in the double digits. "And we've got interest from a lot of other tenants should they not wish to renew," says Kosoy. "The property is extremely well located … in one of the strongest demographic markets in the U.S."

The seller was GE Asset Management, which a source says had to sell the asset in order to return capital to investors after owning the asset for several years. Kosoy says tenants tell him GE put little money into tenant improvements and took a long time to make leasing decisions but otherwise kept the facility in impeccable condition.

In April, Sterling Centrecorp acquired a 6.1-acre retail development site adjacent to an existing 55,182-sf Albertson's supermarket in Euless, TX, which is in Dallas/Fort Worth region. Development is scheduled to begin this quarter.

In March, Sterling reported that for the year ended December 31, 2002, it posted a profit of $2.7 million and net income per share of $0.01 compared to a net loss of $9.5 million and a loss of $0.34 per share for the year ended December 31, 2001. The company's share price on Monday stood at $0.85, up $0.05 on the day and in the middle of its 52-week range.

Instant Insights /

$38.4M Buys 658,000-SF Shopping Center in North Carolina

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