Western Way Trades for $11M

(Crystal Proenza is associate editor of Real Estate Florida.)

BROOKSVILLE, FL-Isram Realty Holdings has acquired the Western Way Shopping Center for $11.5 million from seller WR Dallas LP, an entity backed by Chicago-based Jupiter Realty. The 143,000-square-foot community center is located at 12961 Cortez Blvd., in a region where Isram Realty holds about half a million square feet in retail property, says Shai Moschowits, CEO of the Hallandale-based firm.

Isram Realty obtained financing for the deal from New York-based Intervest National Bank. The in-place NOI at time of sale was over $1 million and the cap rate was 9.3%.

Current market circumstances necessitated a sale of the 95% occupied center, says Mike Milano, managing director of retail investment sales for Colliers Arnold, which represented the seller in the deal. The buyer was attracted to the property because of its location along a major retail corridor in Brooksville-Spring Hill—an area with over 2.2 million square feet of retail space that is about 90% occupied, according to Colliers. Average leasing rates for small shops at the newly traded property are $13.70 per square foot.

Anchor tenants at Western Way, which was built in 1982 and renovated in 1991, include Beacon Theatre, Bealls Outlet, Save-A-Lot, Tuesday Morning and Dollar General. “It’s a stable retail property with good anchors on a solid corridor,” says Moschowits. “We believe over the course of the next five years there is a value-add opportunity there.”

Isram Realty is still on the lookout for more properties in the markets where it has a presence in Florida, along the West Coast, Tampa and Jacksonville, says Moschowits. “My goal is another four before the end of the year. If we continue to buy in those areas we can leverage our property management more efficient,” he tells GlobeSt.com.