Investment Group Takes Portion of Center for $11M Plus

KNOXVILLE, TN-In a deal that closed in $12 million, a California private investment group has acquired a portion of the Market Place Shopping Center here. The $11.8-million transaction gives Dunhill Partners West 95,787 sf of the 321,215-sf retail asset.

Pacific Life Insurance Co. was the seller in a deal arranged by Staubach Investment Sales Southeast, a division of Staubach Retail Services. Staubach’s Tom Statham and William Gervin repped Pacific Life Insurance. A spokeswoman for Staubach tells GlobeSt.com that the transaction carried at 7.5% cap rate.

Market Place is a power center located approximately 11 miles from Downtown along the Kingston Pike. It was built in 1986 and redeveloped in 2005. Anchor tenants include Home Depot, Hobby Lobby, Kroger, Marshall’s and CompUSA. Home Depot owns its store, an institutional investor owns the Hobby Lobby, and a private investor from California owns the Kroger, the spokeswoman adds.

The center is currently 85% leased and there are no major lease rollovers expected in the next 12 to 18 months, the spokeswoman tells GlobeSt.com.