The Shea Scottsdale Shopping Center sells for $44.5m

Vizzda – February 5, 2014 –Matthew Schwab, managing Director of Karlin Real Estate—a Los Angeles-based investment firm—has completed the sale of the Shea Scottsdale Shopping Center on Tuesday to Jerry Simms, owner of Turf Paradise for $44.5m or $273 per square foot. Simms paid $28,481,055 in cash and secured $16,018,944 in new debt with Pacific Coach, Inc.

The Shea Scottsdale Shopping Center is located on 17.77 acres at the northeast corner of Scottsdale Road and Shea Boulevard in Scottsdale. The shopping center totals ±162,929 ft² in thirteen one-story buildings comprised of a 40k ft² Safeway anchor, a 27k ft² sub-anchor occupied by CVS Pharmacy, strip retail and six pads. The shopping center, as well as the adjoining Shea Scottsdale East was completed in 1995 on a 31.96-acre site.

Karlin Real Estate acquired both Shea Scottsdale Shopping Center and Shea Scottsdale East on September 29, 2011. The ±277,253 ft² shopping center was acquired for $50.32m or $181.49 per square foot from the Herberger Family, who had acquired the property as land in 1975 and had financed the development of the shopping. Karlin realized a 50% increase in per foot price—nearly eliminating their cost basis—and retains over 100k ft² or retail space at Shea Boulevard and Scottsdale Road.

 Edward Moore
Director of Research
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