H&R REIT Snaps Up Regency Village for $16M

ORLANDO—H&R REIT snapped up Regency Village, an 83,167-square-foot shopping center, for $16 million. Cohen Commercial Properties sold the retail asset in an off market deal. The sale price was in line with other recent Publix-anchored retail deals that have traded in Central Florida.
 
Michael Cleeman, vice president of Cohen & Company, represented H&R REIT. Helen Putterman, president of Cohen & Company, represented Cohen Commercial Properties. H&R REIT recently acquired four Publix-anchored retail properties in the Central Florida area.

“This transaction showed great confidence in the Orlando retail market that has seen a strong comeback in tourism over the past year with over 55 million tourists,” Cleeman tells GlobeSt.com. “The property’s location across from the Orlando premium outlets—which recently announced a 100,000-square-foot expansion—and a high sales volume Publix will keep this property successful for many years to come.”

Located at the busy intersection of Vineland Avenue and International Drive South in Orlando, Regency Village is one of the largest outlet centers in the United States. The retail property is anchored by a high sales volume Publix Supermarket and Outback Steakhouse.

During the buyer’s due diligence, a 4,000 square feet tenant abruptly vacated the center, but all parties worked together to facilitate the closing where the buyer accepted a master lease from the seller for the vacant space. The retail asset was 97% occupied at the time of the sale.

“The owner had purchased the property from the original developer along with two undeveloped pad sites,” Cleeman says. “One pad site was sold last year, and the other will be retained by the current owner. The owner did not have the property on the market, but was made an excellent offer by the buyer and decided to sell.”