Marin City Shopping Center Up For Sale
Submitted April 5, 2010, 10:53 PM
Money-manager PCCP, which has offices in San Francisco, has posted the 182,000 square-foot Marin Gateway Shopping Center for sale.
The company has owned the Marin City property since 2003 in a joint venture with the Marin County Community Land Corp., a nonprofit.
The asset, at 100 Donahue St., is expected to draw in the neighborhood of $40 million, said Dan Wald, a managing director and partner for Terranomics Retail Services, which is handling the sale. It is being sold on a “best-offer basis,” Wald said. “That means that there is no list price.”
The center has assumable financing, which should make it attractive for buyers. An existing loan totals $29 million with a coupon rate of 5.5 percent and a maturity in 2015.
Wald expects the property to sell as soon as July with interest coming from domestic and foreign institutional-capital sources.
The property is considered a core or core-plus asset because it doesn’t have a grocery store. It is 93 percent leased and has limited lease expiration over the next five years. The main tenants are Best Buy Co. Inc., Ross Stores Inc., CVS Caremark Corp. and Babies “R” Us. The property trade area includes southern Marin County.
PCCP, formerly known as Pacific Coast Capital Partners, declined comment for this story. But industry sources said the company has improved the property from a value-add to a core asset by bringing in some of its better tenants. PCCP invested in the project through its Bay Area Smart Growth Fund I, a commingled fund formed in 2001. The fund winds down in 2011.
Smart Growth Fund I originally invested in several residential and commercial projects in the San Francisco Bay Area, including the re-development of 14.2 acres of the Oakland Airport industrial corridor, the acquisition and rehabilitation of 100 single-family homes in Alameda and Contra Costa counties for low- and moderate-income residents and an infill housing development in the city of Richmond.
