May 3, 2019
CRC Acquires Seven Hills Plaza, 87,250 SF Retail Center Near Tampa, Florida
Continental Realty Corporation, a Baltimore-based real estate investment and management company, has announced the acquisition of Seven Hills Plaza, an 87,250 square foot shopping center located at 11160 Spring Hill Drive in Spring Hill, Florida for $9.8 million from GBR Properties, Inc. The asset is approximately 40 miles north of Tampa in Hernando County. Anchored by Planet Fitness, the neighborhood shopping center was approximately 74% leased at the time of the purchase with a mixture of national and local tenants.
Positioned at the intersection of Spring Hill Drive and Mariner Boulevard, the shopping center features Planet Fitness and Walgreens, as well as national tenants such as GNC, T-Mobile, Subway and BB&T Bank. Nearly 60,000 residents in approximately 23,000 households reside within a three-mile radius of the center, with an average household income exceeding $60,000. Over the last nine years, the population within three miles of Seven Hills Plaza expanded by nearly 8%, demographics that are expected to grow by an additional 7% over the next five years. Nearly 80% of the residents within this trade area are homeowners.
“With approximately 23,000 square feet of space available for lease, Seven Hills Plaza presents a significant value-add opportunity while providing critical downside protection from an extremely high-performing anchor and stability of the inline tenants,” stated Paul Kang, Vice President of Acquisitions, Continental Realty Corporation. “Among the asset’s strengths are its position at a highly-trafficked intersection in the heart of the Spring Hill trade area known locally as ‘Four Corners,’ the population growth surrounding the center that is expected to continue for the foreseeable future, and the excellent condition of the physical plant which requires no significant near-term deferred maintenance capital. We were also attracted to the mix of service uses at the center as over 80% of the tenants are e-commerce resistant merchants. In addition, the property was acquired at substantially below replacement cost and at an attractive going-in yield.”
The shopping center capitalizes on six separate points of entry that give access to more than 48,000 vehicles passing Seven Hills Plaza on a daily basis via Mariner Boulevard and Spring Hill Drive, both of which have large pylon signs. The center, which was constructed in 1989, is located approximately five miles east from US Route 19 and six miles west from US Route 41 (Veteran’s Expressway).
Continental Realty Corporation (CRC) is focused on acquiring value-add retail and multifamily properties located throughout the Mid-Atlantic and Southeast regions of the United States. Headquartered in Baltimore and founded in 1960, CRC is a full-service commercial real estate and investment company. The privately-owned firm owns and manages a diversified portfolio of retail centers consisting of more than 4 million square feet of commercial space, as well as almost 10,000 apartment homes. Positioned throughout the Mid-Atlantic and Southeast regions, the portfolio’s value exceeds $2 billion.
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