GLENDALE, AZ-Northern Crossing, the replacement product for a former 450,000-sf mall, has a new owner. The Ellman Cos. of Phoenix has sold the 70,396-sf inline portion to a California buyer for $14.6 million.
Bob Young, first vice president with CB Richard Ellis' Phoenix office, says Ellman's plan all along had been to scrape, rebuild, lease and sell. At the time of sale, Northern Crossing at 5707 W. Northern Ave., was 100% occupied with tenants like Ross Dress for Less, PetSmart, the Clothing Store and Payless Shoes. The shadow anchors are a Wal-Mart Supercenter and Lowe's Home Improvement.
Young tells GlobeSt.com that the sale to buyers Gary and Sera Brill of Encino CA was the second time the property had been in escrow within the past three months. "We got 14 offers overall on this one," he says. "We had a number of buyers in exchanges, but this one came and looked at the property, asked questions and understood the deal."
Young says the buyer was exchanging out of some California property and had Bank of America backing before the deal went under contract. "We were comfortable they were serious buyers," he says.
In addition to a brand-new plaza, the new owners will gain an asset with an income stream since there are no rollovers on the horizon. "The shop tenants are all pretty much five-year leases, with the bigger anchors having 10 to 15 years on their leases," Young says. "This is a collection of very stable, good-quality tenants and a lot of national names."
CBRE's Glenn Smigiel, Steven Brabant and Rick Abraham teamed with Young to represent the seller. Jim Wellbaum with Triwell Properties Inc. in Hawthorne, CA handled the buy side.
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