A joint venture between Bain Capital and 11North Partners is adding three open-air retail centers to its portfolio in a deal valued at roughly $212 million.
The properties are all located in Oklahoma City, taking up almost 40 acres of space in total. The anchors at the centers include Whole Foods and Trader Joe's. Other tenants include Warby Parker, West Elm, Anthropologie, Sephora, Lululemon and Kendra Scott. Occupancy at the properties altogether surpasses 97 percent.
Since the JV was formed in April 2024, it has been looking to acquire open retail centers in what the two companies call "well-located" areas, featuring a "high concentration of necessity-based tenants."
Recommended For You
What stands out about the $212 million portfolio, according to the firms, is the traffic it generates from two of the largest employers in Oklahoma City: Chesapeake Energy Headquarters and Integris Baptist Medical Center, which are both located near the properties.
“We believe the market opportunity today represents a compelling time to be investing in open-retail centers, an asset class which has proven resilient through multiple economic cycles and continues to benefit from attractive, long-term fundamentals, a convenience-oriented and necessity-driven consumer, and strong retail sales and tenant demand,” said Brian Harper, founder of the JV.
“As one of the most dominant, highest quality assets in the region, the acquisition of these three trophy assets is representative of our platform’s differentiated sourcing capabilities and deep industry relationships."
It's unclear how many open-air retail centers the JV has acquired since its establishment, but Harper added that the duo is "well-positioned to capitalize on the many opportunities ahead."
The latest Newmark mall report pinpoints the fight for quality in retail. While open-air shopping centers experienced a 1.1% decline in traffic in March, Class A occupancy for this subtype was strong, according to the CRE firm. Additionally, Newmark noted that investors are targeting neighborhood and community centers in open-air settings.
© Touchpoint Markets, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more inforrmation visit Asset & Logo Licensing.
Anthony Russo
Anthony Russo has been contributing to GlobeSt. since July 2024. Along with CRE, his financial background expands to capital markets, the economy, and consumer issues. Previously, he has written for CapitalWatch and was a senior reporter for The US Sun.
