Federal Realty Investment Trust (FRT) acquired the 376,000-square-foot San Antonio Shopping Center in California's South Bay for $62.2 million, or approximately $165 per square foot.
The shopping center is located on a 33-acre site just southeast of the El Camino Real and San Antonio Rd. intersection in Mountain View, a burgeoning market that currently houses the headquarters of Google and LinkedIn. Additionally, Accenture, Genencor, Mercedes-Benz Research & Development, Microsoft, Xerox, Tesla, VMware, Dell, Lockheed Martin, Schering-Plough, Skype, Groupon, Nokia and SAP, are either headquartered, or have a significant presence, within 5 miles of the San Antonio Shopping Center.
Anchored by Walmart and Kohl's, San Antonio Shopping Center houses 30 national, regional and local tenants including Trader Joe's and 24 Hour Fitness.
A Rockville, MD-based owner, operator and redeveloper of retail properties in U.S. coastal markets, FRT acquired the asset using approximately 58,000 downREIT units, $18 million of cash and the assumption of $18.7 million of fixed rate debt secured by the property.
"San Antonio Shopping Center has been on our radar screen for some time due to the size of the property, strength of this trade area and long-term potential," commented Jeff Berkes, Federal Realty's President, West Coast. "With exceptional access to some of the Bay Area's most critical roadways and mass transit, we expect this property will deliver immediate value as well as opportunities for significant long term appreciation," he added.
Randol Mackley and Bruce Frazer of SRS Real Estate Partners brokered the acquisition on behalf of FRT, while Michael Couch of Couch Properties represented the seller.