A private investor has scooped up a super regional mall in Savannah, GA for the low price of $9 million, or less than $10 per square foot, from Fremont Realty Capital, in another transaction that does not bode well for the large mall format.
Located at 14045 Abercorn St., the 940,408-square-foot, two-story Savannah Mall was built in 1990 on 53.7 acres in the Greater Savannah submarket of Chatham County. It is anchored by a 188,000-square-foot Dillard’s department store, Target, Bass Pro Shops, Burlington Coat Factory and Virginia College. The mall is located near the Oglethorpe Mall, which draws more of the major fashion retailers, leaving Savannah Mall with more unconventional retailers and a higher vacancy rate.
“This is an excellent opportunity to own an irreplaceable piece of real estate in Savannah along the Abercorn retail corridor,” said Kyle Stonis, senior vice president, Southeast investment sales for SRS Real Estate Partners, who noted the all-cash sale traded free and clear of existing debt with an impressive 19% CAP rate. “The buyer has the ability and experience to come in and take advantage of an excellent opportunity to add long-term value to Savannah Mall by continuing to build upon the momentum established by the previous owners.”
Kyle Stonis and Pierce Mayson with SRS Real Estate Partners represented the seller. The buyer handled the sale in-house.