Grocery-anchored Orlando shopping center sells for $9.1M
JLL Capital Markets closed the sale of the retail property anchored by ALDI in a high-growth area
ORLANDO, Jan. 19, 2021 – JLL Capital Markets announced today that it has closed the $9.1 million sale of Southgate Shopping Center, a 144,052-square-foot grocery-anchored retail center in Orlando, Florida.
JLL marketed the property on behalf of the seller, Marx Realty. A Texas-based real estate company purchased the property.
Originally built in 1966 and most recently renovated in 2019, Southgate Shopping Center is anchored by a ground-leased ALDI grocery store, one of the largest and dominant value-oriented grocery store chains in the country. The 91.6-percent leased Southgate Shopping center is also home to a stable national and regional tenant line-up, including a large-format regional hub AutoZone, dd’s DISCOUNTS, Aaron’s and Value Pawn. Additionally, the property can be expanded with the addition of a 6,000-square-foot future pad site and drive-thru ATM development opportunity.
Southgate Shopping Center is situated on 16.5 acres at 4649 South Orange Blossom Trail at the dominant intersection in the area, which comprises 13 lanes and hosts nearly 75,000 vehicles per day. The center is centrally located between Orlando’s top retail nodes and is less than three miles southwest of downtown Orlando in a dense, infill area with more than 125,000 residents. The area is projected to grow approximately 7.5 percent over the next five years.
The JLL Retail Capital Markets team representing the seller was led by Senior Managing Director Brad Peterson, Senior Director Whitaker Leonhardt and Associate Tommy Isola.
“Marx Realty has been a generational owner of Southgate Shopping Center, and their extensive renovation in 2019 really set the property up for long-term success, as evidenced by the strong national tenant line-up, recent expansion of AutoZone and addition of dd’s DISCOUNTS,” Leonhardt said. “This transaction was marketed ‘pre-COVID’ with tremendous interest from investors, and the asset has held up extremely well throughout the pandemic, even achieving a new 10,000 square foot lease with a medical tenant during the shutdown.
“A Texas-based group emerged as the buyer through a competitive process and was terrific to work with as we all collectively navigated through the evolving healthcare crisis and subsequent economic volatility,” he added.
JLL Capital Markets is a full-service global provider of capital solutions for real estate investors and occupiers. The firm's in-depth local market and global investor knowledge delivers the best-in-class solutions for clients — whether investment sales advisory, debt placement, equity placement or a recapitalization. The firm has more than 3,700 Capital Markets specialists worldwide with offices in nearly 50 countries.
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About JLL
JLL (NYSE: JLL) is a leading professional services firm that specializes in real estate and investment management. JLL shapes the future of real estate for a better world by using the most advanced technology to create rewarding opportunities, amazing spaces and sustainable real estate solutions for our clients, our people and our communities. JLL is a Fortune 500 company with annual revenue of $18.0 billion in 2019, operations in over 80 countries and a global workforce of over 92,000 as of September 30, 2020. JLL is the brand name, and a registered trademark, of Jones Lang LaSalle Incorporated. For further information, visit jll.com.
About Marx Realty
Marx Realty is a firm of creators and innovators that look at real estate differently. Built on a foundation of more than 100 years of expertise, Marx Realty’s award-winning approach to real estate has transformed sites into destinations throughout the country.
The roots of Marx Realty go back to 1915, when the firm’s first building was purchased through Joseph E. Marx Co. The parent company of Marx Realty, Merchants’ National Properties (OTC, MNPP), was incorporated on December 3, 1928 – the same year that MNPP acquired its first 17 properties. In 2006, MNPP acquired Marx Realty, which serves as its management, leasing and development subsidiary. Together, MNPP and Marx Realty are vertically integrated and involved in all phases of real estate management, development, and leasing for 67 properties across 17 U.S. states. Although much has changed since Marx acquired its first commercial building, one thing has not: The firm’s dedication to value creation through asset improvement and reimagining the office and retail space.