A&B Properties Inc announced today its purchase of a shopping center called Little Cottonwood Center—it is a 141,600 square-feet shopping center worth $20.5 million in Sandy, Utah. A&B Properties, Inc is the real estate subsidiary of Alexander & Baldwin, Inc.
The shopping center—Little Cottonwood Center is located just about 17 miles from the business district of Salt Lake City, in Sandy City, Utah’s fifth major city. The shopping center has a 97 per cent occupancy rate. Its tenants include McDonald’s, Fresh Market, Starbucks, Texaco, and Discount Tires. The procurement cost includes the assumption of the shopping center’s $6.4 million credit, with a 5.5 per cent interest rate.
The president of A&B Properties, Norbert M. Buelsing said the Little Cottonwood Center is shopping center which is grocery-anchored, with existing prime regional and national tenants, and is perfectly located in an attractive, emergent uptown neighborhood of Salt Lake City.
Buelsing also said that A&B Properties’ acquisition of Little Cottonwood Center also advanced the company’s approach of reinvesting Section 1031 tax-overdue profits from current sales and making them into fresh assets with constructive approval potential.
He also stated that the shopping center would be a smart addition to its company’s commercial revenue portfolio and the company is expecting to benefit from constant population and job growth in the district.
In Salt Lake City, A&B owns two other commercial properties for quite a few years and so far contented with the properties performance.
A&B Properties’ commercial properties and assets portfolio with the acquirement of the shopping center includes the 7.7 million square feet of industrial, retail and office space in Hawaii and in seven other U.S. major states in the country.