Bernard Court, situated on 10 acres at 1843 E. Highland Dr., isanchored by Hobby Lobby, Goody's, and Shoe Carnival. It's alsoadjacent to a Wal-Mart Supercenter. The four-acre CrossroadsShopping Center at 2400 E. Highland Dr. has Office Max, Pier 1Imports and Mattress King as tenants. Both centers are 100%occupied.

Stonemar Properties' management says it liked the centers fortheir upside potential, which is what drove the deal withBelz-Burrow Development Group. Belz-Burrow developed both centersduring the late 1990s. "The largest tenant we have in Crossroad,which is leasing 48,000 sf, is paying 50% of the current marketvalue. That lease is rolling in about three years," Jonathan Gould,CEO of Stonemar Properties, tells As other leases inthe future, it creates opportunity to increase rents, he says.

One of Stonemar's acquisition preferences is secondary markets."We deal in 100% retail and are looking in secondary markets," saysEmmet Austin, the buyer's chief investment officer. "We like beingnear major regional malls. In Jonesboro, we're near a major mall."The just-completed 750,000-sf Mall at Turtle Creek at 3000 E.Highland Dr. is a half-mile east of the buyer's new retail pieces.Bernard Court and Crossroads also sit across the street from the32-acre Indian Mall, which is undergoing a major renovation.

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