SilverCreek Acquires 46 Retail Centers in 20 States

IRVINE, CA-SilverCreek Properties has acquired a portfolio of 46 retail centers totaling 763,000 sf in 20 states in the West, Midwest and South from the Klein Group of Coldwater, MI. Terms of the transaction were not disclosed, but the deal is likely well into the tens of millions of dollars--and possibly more--considering the prices being paid for retail properties.The transaction was brokered by Salt Lake City-based Commerce CRG, an Alliance Member of Cushman & Wakefield, which represented Klein. Kip Paul, one of the Commerce CRG agents, says that the centers in the portfolio are 95% shadow-anchored by Wal-Mart Super Centers and range from 12,000 sf to 50,000 sf.The centers, which are roughly one to six years old, typically have five to 15 tenants such as Dollar Tree, Radio Shack, CATO Clothing and Game Stop. "Because of the reliable strong traffic Wal-Mart generates, retailers want these locations," Paul says.Paul notes that the brokers spent two months obtaining estoppel certificates from the tenants (verification of lease conditions) to meet lender requirements. Along with Paul, the other Commerce CRG brokers were Jake Fairclough and Ben Brown. Jeff Rothbard, a principal of SilverCreek Properties, represented the buyers. The 20 states in which the properties are located are Utah, Montana, Colorado, South Dakota, Nebraska, Kansas, Oklahoma, Texas, Minnesota, Iowa, Missouri, Wisconsin, Illinois, Indiana, Michigan, Ohio, Georgia, Mississippi, Louisiana and Arkansas. The new properties join a SilverCreek portfolio that includes nearly two dozen retail projects that the company has developed in recent years in California and the West.