This article is from the Australian Property Journal archive
EDT Retail Trust, formerly known as Macquarie DDR Trust, has sold three former Mervyn's properties in California for $US23.0 million ($US11.5 million trust share).
The properties are;
• A 75,207 sq ft location in San Diego, California, at Southland Plaza Shopping Center
• A 88,223 sq ft location in Fairfield, California, at Westfield Solano Shopping Center
• A 79,808 sq ft location in West Covina, California, at Westfield Eastland Shopping Center
Since being returned to the trust in early 2009, the trust with Developers Diversified Realty has closed or has leasing activity on nearly 70% of the Single Box Portfolio, with retailers such as Kohl’s, Forever 21, Walmart, Dick’s Sporting Goods, Sprouts Farmers Market, buybuy BABY, Hobby Lobby and Burlington Coat Factory.
CEO Luke Petherbridge said whilst there remains uncertainty surrounding the Single Box Portfolio, the trust continues to see retailers acting with renewed interest in leasing current vacant locations.
“This is a positive for the broader trust portfolio. Demand for retail real estate continues to increase, and with minimal new supply coming on line, we expect this trend to continue,” he added.
All proceeds from the sale have been used to repay debt.
Petherbridge said it remains in discussions with the secured lender regarding the medium term strategy of the Single Box Portfolio. Currently the Single Box Portfolio provides no contribution to the Trust’s Net Tangible Assets or core earnings.
Australian Property Journal
