Pan Pacific Scoops Up Three Area Properties

PORTLAND-Pan Pacific Retail Properties Inc. has acquired four shopping centers on the West Coast for a total of $39.3 million, and three of them are located in the Portland area. The San Diego-based REIT acquired the properties through two separate transactions. Combined, the centers total more than 423,800 sf with an average occupancy rate of 97%.

The Portland-area properties include:

–Canby Square, a 115,800 square foot grocery-anchored neighborhood center located in Canby, OR. The property is situated on Highway 99, the main east/west thoroughfare. Canby Square is currently 91% leased and will be anchored by a new Safeway Supermarket scheduled for completion in 2002. Rite Aid Drugstore also anchors the center.

–Garrison Square, a 69,790 square foot grocery-anchored neighborhood center located in Vancouver, WA, just north of Portland. The property is situated on East Mill Plain Boulevard, the main east/west thoroughfare. The center is currently 100% leased and is anchored by Nature’s (Wild Oats) Supermarket and Hi-School Pharmacy.

–Powell Villa, a 63,607 square foot neighborhood center located in Portland, Oregon, at the intersection of SE 122nd Avenue and SE Powell. Powell Villa is currently 100% leased and is anchored by Ace Hardware and The State of Oregon. The Company’s strategic plan for the center includes re-tenanting to include a supermarket.

The fourth acquisition was Brookhurst Center, 181,900 sf grocery-anchored neighborhood center located in Anaheim. The center is currently 99% leased and is anchored by a Ralph’s Supermarket, Rite Aid Drugstore and Jo-Ann Fabrics & Crafts.

“These shopping centers are an exceptional fit with our existing portfolio, infill locations with retailers offering everyday essentials,” says Stuart A. Tanz, president and chief executive officer of Pan Pacific. “The purchase price of approximately $91 per square foot is below the cost of new construction and the existing leases are well below market on average, providing solid embedded growth to the income stream going forward.