Investment sales broker Northeast Private Client Group has announced the sale of 466-480 Foxon Boulevard, a grocery-anchored shopping center in New Haven. Edward Jordan, JD, CCIM, the firm’s managing director, represented both the seller and the buyer in the $7,475,000 transaction, which closed on April 12th. The property is located on Route 80 just northeast of downtown New Haven, in the city’s Quinnipiac Meadows section.
“The completion of this sale is yet another positive indication of the strong demand that we’re seeing among real estate investors for desirable, well-positioned retail properties,” notes Jordan. “We were able to create a tremendous amount of competition to secure this asset, in spite of the lingering backlog of commercial investment properties currently available.”
The seller, New Haven-based Krypac Development L.L.C., began development of the property in 2007 as a 49,146-SF grocery-anchored shopping center, which covers 8.5 acres. During development, Aldi Supermarkets purchased its 16,706-SF parcel from the developer, leaving a 32,330-SF shadow anchored center offered for sale by Krypac Development. The retail center is 90 percent occupied and features net leases with national credit tenants such as T-Mobile, TD BankNorth and AutoZone.
The buyer, Longford Associates of White Plains, N.Y., purchased the Foxon Boulevard property for a price that equates to $230/SF, which represents a capitalization rate of 7.7 percent on the current year’s net operating income. The property buyer and seller, working in concert with Citizens Bank, orchestrated a modification and assumption of the existing mortgage.
“We were able to identify and source Longford Associates, a well-qualified buyer, through our White Plains office, which was instrumental in selling this prized asset at a highly competitive price,” explains Jordan. “Our firm is keenly focused on building relationships and executing deals to help support the objectives of real estate investors in the Northeast markets, backed by our offices in New York, Connecticut and Massachusetts.”