Riverfront Plaza in Hackensack has one of the largest grocery brands in the state as an anchor tenant – ShopRite – and a new owner.
JLL Capital Markets announced the closing of the sale of the 129,000 square foot mall on June 8. The company marketed the property on behalf of the sellers – a joint venture of Regency Centers Corp. (Nasdaq: REG) and a separate client who was advised by LaSalle Investment Management.
West Palm Beach-based Sterling Organization acquired the property.
This company announced its purchase of Riverfront Plaza, as well as The Grove, located in the Orlando Metropolitan Statistical Area, on May 27. At the time, the company said the centers were acquired by its main grocery-anchored mall fund – Sterling United Properties. II LP, for $113.75 million, marking the 11th and 12th investments made by the fund. Sterling Organization did not return a request for comment by press time.
Located at 500 S. River Road on 13.8 acres, Riverfront Plaza is 96% leased with additional tenants including Sherwin-Williams, Leslie’s Pool Supplies and Taco Bell.
The JLL Capital Markets team representing the seller was led by Jose Cruz, Kevin O’Hearn, Steve Simonelli, Michael Oliver and Grace Braverman. Of the sale, Cruz commented, “The grocery-anchored retail business in infill locations continues to be in high demand from both private and institutional investors.”
Did you know? The ShopRite banner of Wakefern Food Corp. was identified among the 10 fastest growing grocery chains in 2021 in JLL Research’s 2022 Grocery Tracker.
According to JLL Research’s Grocery Tracker 2022 report, grocery-anchored retail had the second-highest level of activity for real estate transactions in 2021, surpassing $13.3 billion. This activity appears to have persisted into 2022, with malls continuing to attract investors who are looking at the “need-based” offerings inherent in malls, as other recent offerings show. Also on June 7, CBRE announced the sale of the Essex mall, anchored in Stop & Shop, for $47 million. Meanwhile, Red Bank’s First National Realty Partners has steadily increased its portfolio with an eye to properties nationally, snatching up a number recently, including one in South Jersey.
True to its name, Riverfront Plaza is located along the Hackensack River at a signposted intersection less than a mile from major highways including Interstate 80 and Route 46. According to JLL, the city is one of the most densely populated in the state. with over 605,000 residents earning an annual family income of nearly $110,000 within a 5 mile radius.