University Plaza Trades for Nearly $12M

PEORIA, IL-Baceline Investments LLC, based in Denver, has acquired University Plaza shopping center for nearly $11.8 million. The 133,252-sf shopping center is located at 3421-3523 N. University Ave., here. The seller was a private partnership based in Skokie that sold the property for estate planning purposes, says the seller’s agent Michael Horne, president of HSS Management.

Rich Frolik, with CB Richard Ellis, represented the seller of the property. The cap rate was in the “low to mid 8′s,” Horne tells GlobeSt.com.

The shopping center is currently 92% occupied. Tenants include Dunham’s Sports, Hobby Lobby, FedEx/Kinko’s and Blockbuster. There is also a 3,057-sf freestanding Payless ShoeSource on the property. Included in the sale was 2.66 acres of adjacent land for future development.

The asking lease rate for the smaller spaces is $14 per sf net, Horne says. “It is a stabilized property with below market rents and there is ability for additional development on the vacant parcel adjacent [to the shopping center],” he says.