Two Houston Shopping Centers Sold

Maya Properties Inc., an affiliate of Los Angeles-based Day Realty Advisors Inc., bought the larger center, the 216,737-sf Deerbrook Plaza on the northwest corner of the US Highway 59 and FM 1960 intersection. Mia Reed & Co. of Houston won the deed to Lakewood Forest Center, a 95,222-sf center on the northwest corner of the intersection of Texas 249 and Louetta Road in the far northwest submarket.

The properties went up for sale in spring 2002. Each attracted upward of eight offers.

It took three months to identify a buyer for the 100%-leased Deerbrook Plaza, with the balance of the time spent in getting the deal to closing, Paula Foster of the Houston office of Grubb & Ellis Co. tells GlobeSt.com. Deerbrook Plaza was marketed at nearly $19.9 million.

Foster and George Cushing, a Grubb & Ellis senior vice president in the Houston investment group, represented Lamar Cos. in the disposition. Joelle Verbeke, vice president of acquisitions for Day Realty, represented the buyer of Deerbrook Plaza.

Cushing said the recent signing of Tuesday Morning, Dollar Tree and Half Price Books confirmed "the value of the center's design and location at the dominant entrance to Deerbrook Mall. Lamar's ability to complete leases with all three of these tenants in 2002 was a major leasing coup and made a strong statement to investors in the marketing of the center."

The buyer for Lakewood Forest, about 80% leased, was identified in five months, according to Foster. Anchored by an H-E-B grocery, the center's asking price was about $10.5 million.

"The sale of Lakewood Forest was the culmination of Lamar's strategy of enhancing property performance over a three-year hold period and selling to a buyer of stabilized assets," Cushing said in a press release. Foster said the same strategy motivated the Deerbrook Plaza sale.

Brent Fredricks, manager for Mia Reed & Co., and Will Davis of Fredricks Commercial Brokerage of Houston, negotiated on behalf of the buyer of record, Capital Fund VI Ltd. Fredricks said the Lakewood Forest purchase "will provide a great return to our partners for many years to come."