DDR Sells $223M Portfolio

DDR Corp., the Beachwood, Ohio-based CRE "power center" owner & manager, announced this week that it had sold a three shopping center portfolio in the Salt Lake City, Utah area to Excel Trust for approximately $223 million, or approximately $138 per square foot. Full terms of the deal were not disclosed, but both companies indicated that DDR aims to exist the SLC real estate market while Excel saw the purchase as an opportunity to expand in the marketplace. The properties, totaling approximately 1.8 million square feet, included in the transaction are: The Family Center at Fort Union, The Family Center at Orem and The Family Center at Taylorsville.

"We are pleased to reach an agreement with the team at Excel and appreciate their high level of collaboration to effectuate an off-market transaction that accrues to the benefit of both parties," said Daniel Hurwitz, chief executive officer of DDR.

"We value our relationship with DDR and are pleased to announce this transaction. We see this acquisition as an opportunity to enhance our portfolio by securing a foothold in a strong market where Excel Trust already has a management presence. Utah is a business friendly state and boasts some of the best employment and economic data in the nation," said Gary Sabin, chief executive officer of Excel Trust.

For more news and information visit Blumberg Capital Partners.

Excel Trust Invests $68M in Gilroy Crossing

Excel Trust, Inc., a San Diego-based real estate investment trust, has acquired the 473,640 square foot Gilroy Crossing in Gilroy, CA for $68.5 million according to a GlobeSt.com article. The purchase price was below the roughly $80 million asking price announced by the center's former owner, Lakha Properties-Gilroy, in 2008. Excel Trust funded the purchase price for Gilroy Crossing with a $48.4 million mortgage and borrowings under its unsecured line of credit according to an SEC filing.

"We continue to pursue our strategy of sourcing well located, attractively priced real estate through off market transactions," Gary Sabin, Excel Trust chairman and CEO, said in a statement about the purchase.

Gilroy Crossing, which sits at the intersection of Camino Arroyo and Pacheo Pass Highway, originally opened in 2004 and is currently 99% leased with major tenants including Kohl's, Target, Sports Authority, Ross Dress for Less, Michaels, PetSmart and Bed, Bath & Beyond. The current annual net operating income is approximately $5.3 million.

For more news and information visit Blumberg Capital Partners.