Colliers International has negotiated the $25.9 million sale of a 6.5-acre site in Fountain Valley that houses a Curacao Department Store in what the brokerage company is calling the first sales transaction on the open market of a single-tenant site involving the successful retailer that caters to the Hispanic consumer, company officials have reported.
The sale was consummated after a team of Colliers brokers launched an aggressive national marketing campaign highlighting the benefits of the property that is occupied by a 103,000-square-foot Curacao building at 16111 Harbor Blvd. in Fountain Valley, one of the most heavily-trafficked thoroughfares in Orange County. The team’s national marketing campaign highlighted the property’s prized location, Curacao’s success and long-term lease at the site, and the region’s favorable demographics.
“The single-tenant, triple-net lease offering included not only the free-standing Curacao store and the land it sits on, but an income-producing cell tower on the property, as well,” said Colliers Senior Vice President Eric Carlton, who along with Senior Vice President Michelle Schierberl, Executive Vice President Jereme Snyder and Senior Vice President Donald Ellis comprised the Colliers team. “The area’s demographics proved to be an important part of the sales process, as well.”
The buyer, Spirit Realty Capital, is a publicly traded real estate investment trust (REIT) based in Scottsdale, Arizona, while Santa Ana-based Red Mountain Asset Fund II, was the seller. Both firms have extensive property holdings in several property categories, including single-tenant retail sites like the Curacao location.
Since its founding in 2003, Spirit Realty Capital’s core business is single-tenant sale/leaseback real estate financing and acquisitions, typified by the Curacao transaction. Its gross real estate investment portfolio exceeds $7 billion, comprising approximately 2,100 properties across 48 states.
Founded in 1999, Red Mountain Retail Group has grown from one moderately-sized shopping center in Phoenix into a highly profitable portfolio encompassing over 3.5 million square feet of commercial retail development with a current value of over $700 million dollars.