Simon Properties Sells Buffalo Grove Town Center

Simon Properties has sold Buffalo Grove Town Center to Arthur Goldner & Associates. The retail REIT had been its original developer, and had envisioned the retail property as the “town center” for the suburb of Buffalo Grove, northwest of Chicago. The Institutional Services Group of Grubb & Ellis represented both parties in the transaction. The original asking price was $11 million, but a sale price of $7 million has been reported.

Simon developed Buffalo Grove Town Center, a 195,101-sf retail center on a 21.8-acre parcel, in 1989. The center is located at the northwest quadrant of the intersection of Lake Cook Road and Route 83 (Old McHenry Blvd.).

Included in the center’s space is an Eagle Food Store, totaling about 56,200 sf and two restaurant outlots, each totaling 3,000 sf and currently occupied by a Burger King and Boston Market. These parcels are owned by third parties and were not included in the sale.

Arthur Goldner & Associates, a private investment and real estate firm, has embarked on a leasing campaign to re-tenant the center, which was about 30% vacant at the time of the sale.

The gross leaseable area acquired by Arthur Goldner & Associates totaled 132,900 sf. The largest tenants of Buffalo Grove Town Center include Buffalo Grove Theaters, 14,300 sf; Binny’s Beverage Depot, 14,200 sf; Baby Town, 9,400 sf; Porter’s Steak House, 9,000 sf; and Mongolian China Buffet, 7,600 sf.