ROIC has announced that they will be purchasing the Fallbrook Shopping Center in West Hills, located on Fallbrook Avenue between Victory Boulevard and Vanowen Street, for an all-cash $210 million deal. The retail center has been owned and managed by General Growth Properties – owner of the Northridge Fashion Center and Glendale Galleria, among other malls. The deal, which provides a significant addition to ROIC’s shopping center portfolio, is slated to close by the second quarter of 2014.

The center was constructed in 1966 as an enclosed mall. It later positioned itself as a big-box retail center – one of the largest in the San Fernando Valley. ROIC reports that the center is home to approximately 1.1 million square feet of gross leasable area and is 98 percent leased. Stuart A. Tanz, ROIC president and chief executive officer showed enthusiasm for the acquisition stating that the center “is an excellent strategic fit with our existing portfolio, given its location and market position, as well as its diverse mix of tenants, many of which are necessity-based retailers.”

Fallbrook currently has many meaningful anchor stores including three supermarkets (Ralph’s, Trader Joes and Sprouts), and four major big-box retailers (Walmart, Home Depot, Target, Kohl’s).

ROIC has a portfolio of 55 shopping centers. Fallbrook will become one of their premier properties. ROIC, a real estate investment trust (REIT), has a track record for repositioning shopping centers and will look to employ those strategies along with a host of leasing a development initiatives.

Sources:

http://www.postperiodical.com/fallbrook-shopping-center-sold-for-210-million/

http://www.nasdaq.com/press-release/retail-opportunity-investments-corp-to-acquire-fallbrook-shopping-center-for-210-million-20140602-00081