X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.

NEW YORK CITY-Locally-based Cohen & Co. Inc. Real Estate sold a portfolio of shopping centers located in Kentucky and West Virginia. CCIRE exclusively represented both the seller, a New York City-based real estate company, and the buyer, a real estate company out of Lexington, Kentucky. The buyer and seller could not be disclosed.

Helen Putterman, president of Cohen & Co. Inc. cannot disclose a price to GlobeSt.com, but put the cap rate at 8.5%. Putterman also noted that the seller was a long time owner.

The portfolio consists of five centers, totaling 700,000 sf. They are located in the county seats in their respective markets and are viewed to have tremendous upside. The upside value has been determined by multiple under market leases, vacancies, and development possibilities.

The centers, although in secondary and tertiary markets, are in prime locations in each of their respective markets. They are in close proximity to each other thereby offering an economy of scale in terms of management and leasing.

GlobeSt.com learns that the five properties are the following; Crestwood Station in Crestwood, KY composed of 113,475 sf; Tri-County Square in Corbin, KY composed of 141,315 sf; Manchester Square in Manchester, KY composed of 178,859 sf; Sheperdsville Square in Shepherdsville, KY composed of 133,393 sf; and Greenbrier Valley Mall, located in Fairlea/Lewisburg, WV composed of 85,941 sf.

The properties, dating back to the mid ’80s, have had little renovation and improvement creating a more challenging sale of the portfolio. “We showed the buyer that the numerous short term leases and month to month tenants represented incredible upside,” Cohen & Co. notes. “The buyer recognized this value, and the purchasing value of the centers at well below the replacement costs. They felt that with the implementation of an intensive leasing and management program they could substantially increase the value of the properties.”

According to a release, the brokers, Helen Putterman, President and Ric Kaiser, senior executive director, were fortunate to identify the buyer prior to marketing the portfolio. “The buyer was determined to move quickly in order to keep it from going out to the market and made a pre-emptive offer to purchase the properties,” according to the release. “The deal closed and it was considered a success by all parties.”

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 3 free articles* across the ALM subscription network every 30 days
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

Dig Deeper

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2020 ALM Media Properties, LLC. All Rights Reserved.