AKRON, OH—Phillips Edison Grocery Center REIT II, Inc. has just completed the purchase of Harvest Plaza, a grocery-anchored shopping center in Akron at 2801 E. Waterloo Rd. for about $8.0 million. The seller was Garrison Central Harvest Plaza LLC. Although the Cincinnati-based REIT is a very active buyer of retail properties, this was its first purchase in Ohio.
As reported in GlobeSt.com, Phillips Edison typically focuses attention on secondary markets that it predicts will experience solid growth over the next few years. This keeps it out of the intense competition and lower returns found in the core markets. In the first three quarters of 2014, the Cincinnati-based company snapped up 48 retail centers across the US with an aggregate price of about $765 million.
Harvest Plaza has 75,866-rentable-square-feet located on about 7.99 acres of land. Six tenants occupy 100% of the space. Giant Eagle, a regional grocery store chain, occupies 61,866-square-feet. Other national and regional tenants at the center include Papa John's, Subway and Super Cuts. Phillips Edison officials say the property does not need any significant renovations or improvements.
“Phillips Edison has a national focus and looks at opportunities all over the country, and from there we zero in on a set of factors including the strength of the grocer, the quality of the specific asset and the “micro-market“ – the three mile trade area around our centers,” a company official tells GlobeSt.com. “Harvest Plaza has solid real estate fundamentals and is anchored by the market-leading grocer.”
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