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Hanley Investment Group Completes Sale of Disruptive Strategy Mall for $12.2 Million at Record Cap Rates in Bend, Oregon

BEND, Oregon – Hanley Investment Group Real Estate Advisors, a nationally recognized real estate brokerage and advisory firm specializing in the sale of commercial properties, today announced that the company has completed the sale of two commercial properties in Bend River Village , a very successful Petco. -mall anchored in an affluent market in Bend, Oregon. The fully occupied net leased investments, which sold for a combined total of $12,175,000 and 26,824 square feet, were sold to two different 1031 exchange buyers as part of the execution of a sell-off strategy by breaking in the center and resulted in record capitalization rates. .

In the first transaction, a two-tenant retail block occupied by Aspen Dental and America’s Best Contacts & Eyeglasses, totaling 7,051 square feet, sold for $5,375,000 (cap rate of 4.92% ), which is a record cap rate for a multi-tenant block over $5 million in the Pacific Northwest. The property, which sits on 0.77 acres at 3211 N. Highway 97, was previously occupied by an Applebee’s and was redeveloped in 2020 by the seller.

Beau Velten, Jeff Lefko and Bill Asher of Hanley Investment Group, in association with ParaSell, Inc., recruited a private 1031 exchange buyer from Newport Beach, Calif., for the seller, a developer based in Sun Valley, Idaho .

“We bought multiple off-market offerings from 1031 exchange buyers from other Hanley Investment Group listings and achieved one of the lowest cap rates for a multi-tenant retail block in the north -western Pacific,” Velten said.

In the second transaction, a two-tenant Petco and independent retail space occupied by Companion Pet Clinic and US Cellular, which totaled 19,773 square feet combined, sold for $6,800,000. The buildings were located on a 2.3 acre parcel at 3197 N. Highway 97.

Velten, Lefko and Eric Wohl of Hanley Investment Group, in association with ParaSell, Inc., have found a private 1031 exchange buyer based in Bozeman, Montana.

“We achieved a cap rate of 5.50%, which is a record cap rate for a Petco-anchored retail property in the Pacific Northwest, although Petco still has one year left in the term. initial of his lease,” Lefko noted. “Companion Pet and US Cellular recently signed new leases.”

Velten adds, “By selling the individual plots separately rather than selling the mall as a whole, we were able to realize over $1,500,000 in incremental seller value. “The sum of the parts is greater than the whole” continues to be an accretive selling strategy, as demand for retail net leased investments priced below $10 million will experience the greatest transaction velocity over the course of the second half of 2022.”

In 2021, Hanley Investment Group sold over 200,000 square feet of retail space in nine major malls, many of which were single-tenant properties. Additionally, the company expects to bring at least 25-30 single-tenant and multi-tenant properties to market by the end of 2022 following the implementation of sell-out strategies at several major malls. .

“Demand from 1,031 exchange buyers for single-tenant and multi-tenant retail assets across the country has not abated, and we anticipate a busy remainder of the year filled with on- and off-market transactions. due to the lack of currently available stocks in the market,” Lefko added.

Bend River Village is anchored in the shadows by a new WinCo Foods which opened in February 2021 and the Bend River Promenade, which features Macy’s, TJ Maxx, Hobby Lobby, Natural Grocers, Kay Jewelers and others. Bend River Village also enjoys excellent exposure and visibility at the signposted intersection of NE Bend River Mall Drive and N Highway 97. Bend River Village is also within walking distance of the Riverhouse Convention Center and several hotels.

Bend, Oregon is the second-largest mid-sized city in the United States and is nationally recognized for its high quality of life and economic opportunity. Bend tops the list in job and business growth and has overtaken Portland as the fastest growing major city in Oregon. River Bend Village is located near River West, Bend’s wealthiest neighborhood, with an average household income of over $102,000 per year within a one-mile radius. River West also has many cool breweries, specialty cafes and trendy restaurants. The wooded Deschutes River trail is known for hiking or mountain biking.

“The Pacific Northwest is a great place to live and its economy is booming,” Velten said. “When commercial investments are available for sale in the region, they are highly sought after with multiple competitive offers. As a result, we expect to see continued in-state and out-of-state private equity investments in the Pacific Northwest at premium prices for the remainder of the year and beyond.

About Hanley Investment Group

Hanley Investment Group Real Estate Advisors is a real estate brokerage and advisory services firm with a transaction history of over $9.2 billion that specializes in the sale of commercial properties nationwide. Our expertise, proven track record and unwavering dedication to putting customer needs first sets us apart in the industry. Hanley Investment Group creates value by delivering exceptional results through the use of property-specific marketing strategies, cutting-edge technology and local market knowledge. Our nationwide relationships with investors, developers, institutions, franchisees, brokers and 1031 exchange buyers are unparalleled in the industry, resulting in maximum exposure and price for every property. With unparalleled service, Hanley Investment Group has redefined the retail investment property experience. For more information, visit www.hanleyinvestment.com.

Media Contact
Company Name: Hanley Investment Group Real Estate Advisors
Contact person: Beau-Velten
E-mail: Send an email
Call: 949.585.7652
Address:3500 E. Coast Highway, Suite 100
Town: Crown of the Mar
State: California
Country: United States
Website: https://hanleyinvestmentgroup.com/