This article is from the Australian Property Journal archive
Galileo Shopping America Trust has purchased a second shopping centre in the United States in a week.
The Galileo JV Company has bought Ridge Plaza located in Arlington Heights, Illinois for $US24.750 million.
Ridge Plaza is a high quality community shopping centre comprising GLA of 151,643 sq ft. The centre is shadow-anchored by Kohl’s and anchored by XSport Fitness, Bang & Olufsen, Portillo’s and Harbour Freight Tools.
The centre is currently 95% leased with 7,000 sq ft available over two separate tenancies. The asset is expected to produce a year one yield of circa 7.4 %, increasing to over 8.0% in year two.
Arlington Heights, IL is an affluent suburb of Chicago with strong demographics including a population of over 130,000 and an average household income of circa $80,000 within 3 miles.
Earlier this month, the Galileo JV Company bought The Shoppes at Letson Farms in Birmingham, Alabama for $US14.850 million.
The Shoppes at Letson Farms is a high quality neighbourhood, grocery anchored centre comprising GLA of 95,092 sq ft. The centre is anchored by Food World, the number two grocer in the market (19% market share), with the remaining space leased to smaller tenants including Subway, Movie Gallery, H&R Block and Cingular Wireless.
The Shoppes at Letson Farms is currently 94% leased, with around 2,400 sq ft available over two separate tenancies. The asset is expected to produce a year 1 yield of 7.55%.
