Rare dual grocery-anchored retail center near Phoenix sells
JLL Capital Markets closed the sale of the Trader Joe’s- and Sprouts-anchored retail center in Mesa, AZ
PHOENIX, April 25, 2022 – JLL Capital Markets announced today that it has closed the sale of Mesa Shores, a 110,917-square-foot retail center anchored by Trader Joe’s, Sprouts Farmers Market and EOS Fitness in the Phoenix-area community of Mesa, Arizona.
Originally constructed in 1995, Mesa Shores has been upgraded and renovated throughout the years, most recently in 2016. The 92.9-percent-leased center boasts two coveted and popular grocery anchors, Trader Joe’s and Sprouts Farmers Market. The grocers are complemented by a quality mix of daily needs and internet-resistant tenants, including EOS Fitness, Mesa Dogs 24/7, Peter Piper Pizza, Einstein Bros. Bagels and Club Pilates. More than half of the tenancy have operated at the property for more than 10 years, with seven tenants at this location for over 20 years.
Mesa Shores is positioned on 13.55 acres at 2048-2050, 2110, 2156 E Baseline Rd. at the northeast corner of Gilbert and Baseline roads in the heart of Mesa’s busiest retail corridor with visibility to more than 46,000 vehicles per day. This dense, infill location in suburban Phoenix houses more than 409,799 residents earning an average annual household income of $84,265 within a three-mile radius, and the population is projected to balloon 6.3 percent by 2026.
“Despite a changing interest-rate environment, neighborhood shopping centers represent a relative value compared to other commercial property sectors,” Dempsey said.
“Mesa Shores is a rare asset with two grocery stores, leasing upside and strong location in a growing submarket,” Lvovich added. “We have and will continue to see strong demand for this category of retail.”
JLL Research’s recently released Grocery Tracker 2022 report tracked the fastest-growing grocers in the U.S. in 2021, with Sprouts Farmers Market ranked as the fifth-fastest growing grocery store chain. Last year was a record year for grocery-anchored retail transactions, the second-highest level of activity recorded with trades topping $13.3 billion.
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 and advisory, debt advisory, equity advisory or a recapitalization. The firm has more than 3,000 Capital Markets specialists worldwide with offices in nearly 50 countries.
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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 $19.4 billion, operations in over 80 countries and a global workforce of more than 98,000 as of December 31, 2021. JLL is the brand name, and a registered trademark, of Jones Lang LaSalle Incorporated. For further information, visit jll.com.
About ACF Property Management, Inc.
Founded in 1968 in the San Fernando Valley suburbs of Los Angeles, ACF currently manages more than 48 shopping centers in 13 states. From California to Florida, from Texas to New Hampshire, you don’t have to look far to find one of ACF’s well-situated retail locations.
About Epic Real Estate Partners
Epic Real Estate Partners is a commercial real estate investment firm headquartered in Austin, Texas. In conjunction with institutional partners, Epic seeks value-add opportunities in grocery-anchored and power center retail in top 60 markets, select college towns, resort communities and tertiary markets with unique economic drivers nationwide.
For more information, please visit their website at epicrepartners.com.