Continental Realty Corporation, a Baltimore-based real estate development and management company, has acquired Plantation Commons, a 121,402 square foot neighborhood shopping center at 4495 Commons Drive West in Destin, for $13.325 million. The asset was purchased from Plantation Plaza at Kelly Plantation, L.P.
Casey Rosen and Cliff Taylor of the Miami and Jacksonville CBRE offices represented the seller. The buyer was self-represented in this transaction. Brett Stuart of REI (Real Estate International) has been hired by the buyer to spearhead the leasing efforts.
The shopping center asset was acquired on behalf of CRC Fund III, L.P., which is focused on buying value-add retail and multi-family properties in the Mid-Atlantic and Southeast regions. This represents the seventh acquisition for CRC Fund III, L.P.
Plantation Commons was constructed in 2007 and is currently anchored by Fresh Market, Marshall’s and Destin Health and Fitness Club, as well as a new HomeGoods. The project is approximately 70 percent leased, with more than 36,000 square feet of in-line space available for lease. The property is located at the intersection of Commons Drive and Kelly Plantation Drive, just off Emerald Coast Parkway (U.S. 98) the major thoroughfare in Destin.
The project is within close proximity to Kelly Plantation, a 900-acre residential community that contains waterfront golf estates, luxury condominiums and single-family homes, Home Depot and several other commercial pad sites. The average annual household income within one mile exceeds $86,000 and the regional population escalates to more than 40,000 people during the travel and holiday periods.
With this acquisition, Continental Realty Corporation affiliates currently own 10 retail shopping centers, mixed-use and multi-family apartment communities in Florida, including The Shops at Verandah, Gateway of Naples, The Colonnade on 5th, Marquesa Plaza, Esplanade Shoppes and Bed, Bath & Beyond Plaza in the Naples/Ft. Myers area and Waterford Park at Waterford Lakes in East Orlando.
“Plantation Commons is a tremendous acquisition for our Fund,” explained JM Schapiro, chief executive officer of Continental Realty Corporation. “We were initially attracted to the center due to the extremely high sales volume Fresh Market, along with the mix of other tenants that are also performing exceptionally well. In addition, this center is relatively new, having been delivered approximately six years ago, and it is extremely well built and designed.”
“Plantation Commons, like many other centers in the Florida region, was delivered when the market was performing poorly, but the basic fundamentals remain strong,” said David Donato, vice president of Continental Realty’s Commercial Division. “This is an outstanding opportunity for us. The existing vacancies provide us the opportunity to increase the net operating income while improving traffic for our tenant base. Our immediate plans entail the implementation of a strategic marketing and leasing program to fill the available vacancies, in addition to completing minor signage and lighting upgrades and improvements. I am extremely confident that we will have the vacancies filled quickly and already have strong interest in this center.
“The center features four extremely strong anchor tenants, including an attractive Fresh Market grocery store that will enable us to target complementary retailers to complete and round out the tenant mix. Our research indicates that the greater Destin marketplace remains under-retailed, and there exist excellent opportunities to bring compelling merchants to Plantation Commons. I was amazed at the strength and buoyancy of the market during a recent visit,” Donato added.
Continental Realty Corporation, headquartered in Baltimore and founded in 1960, is a full-service commercial real estate development and management company. The privately-owned firm manages a diversified portfolio of commercial office buildings and retail centers consisting of more than three million square feet of space, as well as apartment home communities featuring more than 7,000 multi-family homes. Positioned throughout Maryland, Virginia and Florida, the value of the portfolio exceeds $1 billion. Continental Realty focuses on asset value generation achieved through expert leasing and property management activities. For additional information, visit www.crcrealty.com.