Pompano Beach Shopping Center Fetches $30 Million

Pompano Marketplace has changed hands for nearly $30 million.
The 238,056-square-foot Pompano Beach shopping center sold Friday for about $125 per square foot, according to Broward County records. A company managed by Principal Real Estate Investors LLC is the buyer of the 19.19-acre property at 1115 S. Federal Highway. No financing was recorded.
A company managed by Boston-based TA Associates Realty is the seller.
Pompano Marketplace is anchored by Wal-Mart, Bealls Outlet Store, Stein Mart, Dollar Tree and Jo-Ann Fabric and Craft Store. The 24-year-old shopping center is about 92 percent leased, according to CoStar Group.
Principal, the real estate arm of publicly-traded Des Moines, Iowa-based Principal Financial Group, is the fourth-largest institutional real estate manager in the nation, according to the company’s website.
The Pompano Marketplace purchase “fits our strategy of acquiring high-quality, grocery-anchored centers in dense, infill areas at a price well below reproduction cost,” according to a statement from Jim Halliwell, the company’s managing director-acquisitions and dispositions.
“With Wal-Mart, Stein Mart and others, we have a quality base of tenants to start with and expect additional enhancements, and re-merchandising will add to the appeal and ultimate value of the center,” Halliwell said.
Principal has been active in South Florida over the last few months. In late December, the company spent $40.5 million on the South Dade Shopping Center in Cutler Bay and paid $20.24 million for the Aqua Isles apartment complex in Dania Beach.
The Pompano Marketplace sale is the second most-expensive purchase for the region thus far behind the $92 million sale of Miracle Marketplace in Miami on Jan. 15.
 
Source:  DBR