Memphis, Tennessee - The economic downturn has slowed construction of triple net lease properties and Retail Shopping Centers. So when a landmark Retail Shopping Center comes available, NNN Commercial Real estate investors jump. NNN Investment Buyers normally like a NNN property with a strong national tenant. Many experienced NNN buyers would rather have a nice, safe, strong property in a good location and get a smaller return. Compared with the alternative of a property with a higher return and higher risk in a less than desirable location. Reasons like that is why the Eastgate Shopping Center sold. This Retail Shopping Center sold for $31.5 million. The net leased property selling price equates to approximately $71 per square foot for the trophy net lease investment.
This Retail Shopping Center, Eastgate Shopping Center, is approximately 445,907-square feet, on Park Avenue, in Memphis. The net leased property buyer was Eastgate Center LLC, believed to be based in Dallas, Texas. They will enjoy this net lease investment that serves retail foot traffic in the Bartlett, Germantown, Lakeland and Collierville areas. Eastgate Shopping Center has parcels that are listed as 5112, 5040, 5010, 5118 and 5138 Park Ave., 827 White Station Road and 5125 Truse Parkway. We are unaware of any Investment Property financing that was conducted for this transaction.
This net leased property was sold by Union Realty Co., a Belz entity. This Retail Shopping Center has great Tenants as anchors. These anchor Tenants leasing space include Fresh Markets, Bed, Bath & Beyond, Stein Mart, TJ Maxx and Burlington Coat Factory and Walgreen’s. Eastgate also has over 65,000 square feet of office space which is currently being leased and managed by CB Richard Ellis Memphis. Eastgate Shopping Center is the eighth largest retail shopping center in Memphis. This net leased property was developed by Belz in 1964 and had its offices there into the 1980's. Belz Enterprises has an extensive Investment Property Portfolio that contains 20% office buildings, 50% industrial properties and 30% are retail triple net lease properties.
The net leased property is in a dominant market with a great location and national credit tenants. So this explains why even without a high cap rate, NNN Commercial Real Estate investors were interested. Another selling point for the Eastgate Shopping Center is the occupancy rate hovers around 95% with not a high turnover rate for the Tenants. That is a plus for all triple net lease properties and retail shopping centers. This Retail Shopping Center is a mainstay of East Memphis for more than 45 years. This location of the Poplar Avenue corridor is a high traffic area for retail foot traffic. As of 2009, about 79,300 people lived in the center’s three-mile radius, with an average household income of $93,000.
Some other Tenants for triple net lease properties are 7-Eleven, Verizon, McDonald's, Burger King, and Walgreen's. We have NNN Commercial Real Estate Buyers who like retail, and possible 1031 Exchange property solutions. Contact Net Lease Properties to sell your net lease properties, purchase NNN Property or 1031 exchange opportunities.
If you need financing for NNN Commercial Real Estate or Sale-Leaseback financing, you can apply for Commercial Loans at Loanrise.com.
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