Octave Holdings and Investments has paid $30.7 million for West Allis Towne Centre, a 325,309-square-foot energy middle in West Allis, Wis. KPR Facilities bought the asset one yr after having acquired it for $22 million from Kimco Realty, in accordance with CommercialEdge knowledge.
The transaction represents the corporate’s first buy via its newly launched Octave Realty Fund X LLC and likewise its first Wisconsin foray. KeyBank offered a $20.7 million mortgage for the acquisition, the identical supply reveals.
Situated at 6702 W. Greenfield Ave., West Allis Towne Centre was 95 p.c leased on the time of sale. Anchored by Pan Asia, the purchasing middle includes a numerous mixture of regional and nationwide retailers similar to Passion Foyer, Burlington, Planet Health, Ross Gown for Much less and 5 Under.
READ ALSO: Why Traders Are Hungry for Grocery-Anchored Retail
Accomplished in 1987, the retail asset encompasses 4 buildings unfold on some 22 acres. The ability middle underwent a beauty renovation again in 2011. Pinnacle Leasing and Administration—an entirely owned subsidiary of Octave—will handle the property going ahead.
The purchasing middle serves greater than 73,000 residents inside a 2-mile radius, with the common family earnings of roughly $85,000, in accordance with Octave. The property is close to Interstate 94, in an space the place the each day site visitors rely reaches greater than 150,000 automobiles. Downtown Milwaukee is a few 7 miles away.
Milwaukee’s retail sector slows down
Milwaukee’s retail market tendencies indicated a slowdown within the first quarter of this yr, in accordance with a current Cushman & Wakefield report. On the funding aspect, exercise was restricted as many consumers and sellers continued to take a cautious strategy.
The metro recorded 172,527 sq. ft of detrimental absorption pushing the emptiness charge up 50 foundation factors year-over-year to 7.4 p.c. Asking rents fell 3.1 p.c quarter-over-quarter to $13.64 per sq. foot, as availability of Class An area remained restricted.
