TUCSON, ARIZONA -- Seritage SRC Finance, an affiliate of Seritage Growth Properties, a real estate investment trust that emerged from the Sears bankruptcy, sold the former Sears store at Park Place Mall to Park Place Partners, a partnership between Evergreen Devco, Inc. (Russell Perkins, Principal) and Wentworth Property Company of Phoenix for $12.25 million ($56 PSF), well below replacement cost.
This Sears store closed in July 2018.
The 218,829 square-feet improvements on 19.7 acres consists of two buildings, a 204,829 square-foot main building and a roughly 14,000 square-foot auto pad. Property sold with one tenant, Round 1 Entertainment in 50,550 square feet.
Round 1 Entertainment serves as co-anchor to the 1,055,000 square-foot Park Place Mall on 64-acres, one of the few prominent regional retail centers serving Tucson metro area. Park Place Mall boasts top performing locations for national credit and brand name tenants such as Victoria’s Secret, Applebee’s, Foot Locker, Bath & Body Works, Red Lobster, Yard House and Chipotle with Century Park Place 20 (Cinemark), Dillard’s, Total Wine and Old Navy as anchors.
The buyer purchased the property for its redevelopment potential and is planning to activate the vacant retail space adjacent to Round 1 with a new Jr. Anchor retail tenant. Evergreen is also considering options for the auto shop and underutilized parking areas. Russ Perkins said that Evergreen is excited to be a part of the evolution of Park Place and promised us the plans they have for the property are exciting. Evergreen was not able to share specific details about the redevelopment plans yet, but they committed to sharing additional information on the redevelopment of Broadway at Park Place in the near future.
The transaction was completed on July 28, 2022.
CBRE’s Philip Voorhees and Jimmy Slusher of CBRE Newport Beach, CA; Nancy McClure of Tucson CBRE; and Trent Steeves also with CBRE Newport Beach, represented the seller, Seritage. Ryan Desmond, Bryan Babits and Jake McClaughry of Western Retail Advisors represented Evergreen. Western Retail will continue to lease the retail portion of the project for Evergreen.
For more information, the Newport Beach office brokers can be contacted at 949.725.8500 and McClure can be reached in Tucson at 520.323.5117. The Western Retail brokers can be reached at (602) 778-3747. For leasing information, Desmond, Babits and McClaughry should be reached at 602.778.3747.
To learn more, see RED Comp #10075.