The Shops at Sossaman provides an opportunity for investors due to its location in the fast-growing East Mesa submarket. Image courtesy of CommercialEdge
A joint venture managed by Crow Holdings Capital has purchased The Shops at Sossaman, a 34,151-square-foot neighborhood shopping center in Mesa, Ariz., for $8.1 million. Abington Emerson Investments was the seller and Newmark brokered the transaction.
Abington acquired the property back in 2017 for $3 million, according to CommercialEdge data. At the time of the purchase, the asset’s occupancy was only 37 percent.
Completed in 2002, The Shops at Sossaman is now 100 percent leased to a diverse tenant mix of tenants such as Banner Health Physical Therapy, East Valley Pet Urgent Care, Empower Academy and Crave Pizza.
Newmark’s Senior Managing Directors Steve Julius and Jesse Goldsmith, along with Director Chase Dorsett, represented both the buyer and seller in the transaction.
READ ALSO: When Will It Be a Good Time to Invest in Retail?
Located at 7641 E. Guadalupe Road, the shopping center is within an Opportunity Zone in Maricopa County. The Shops at Sossaman is near the intersection of Interstate 60 and Loop 202, which provide easy access to downtown Phoenix. The property is close to Phoenix Mesa Gateway Airport and serves households with an average income of $102,568 within a 3-mile radius.
Greater Phoenix’s retail market stays resilient
The Greater Phoenix retail market recorded 373,525 square feet of positive net absorption during the third quarter, which marks the 12th consecutive quarter of positive absorption, according to a recent Avison Young report. However, this year has seen a significant decrease in investment sales activity when compared to the previous two years. The transaction volume for retail assets in the third quarter reached $429.6 million, bringing the year-to-date total to $1.2 billion. By comparison, in both 2021 and 2022, Phoenix retail investment sales had recorded 8 consecutive quarters with more than $500 million.
