MILLVILLE, N.J., Nov. 30, 2021 /PRNewswire/ -- In its second
retail property acquisition this year, Irgang Group today announced
the purchase of Union Lake Crossing, a 393,000-square-foot power
center serving the greater Millville-Vineland market in southern New Jersey.
The Nyack, N.Y.-based real
estate investment and management firm acquired the 43.39-acre site
from Goodman Properties. Built in 2006, Union Lake Crossing is
shadow-anchored by Target, and houses a mix led by a recently
expanded and remodeled Shop-Rite supermarket, Kohl's, Ross Dress
For Less, Staples, and PetSmart.
Other notable tenants include Famous Footwear, Party City, Five
Below, Buffalo Wild Wings, Moe's Southwest Grill, and Sonic. Over
95% of the property's occupied space is held by national
tenants.
Located in the heart of Cumberland
County's regional shopping hub, the property is situated at
the signalized intersection of North 2nd St. (State Hwy.
47) and Union Lake Blvd., with easy access to State Hwy. 55, a
major north-south freeway in southern New
Jersey.
As the county's main retail corridor, Hwy. 47 has an average
daily traffic count of 31,816 vehicles. A 2017 Master Redevelopment
Plan established the Rte. 47 corridor as the nexus of all future
economic development in the greater Cumberland County market. Meanwhile, Hwy. 55,
located about 1,000 feet from the site, has a daily traffic county
of 27,300.
"Between its strategic location, dominant anchors and
solid mix of sub-anchors and smaller tenants, Union Lake Crossing
ranks as the most-visited open-air retail center within a 15-mile
radius, drawing 4.1 million shoppers over the last 12 months," said
Mark Irgang, CEO of Irgang
Group.
The property draws from a primary market that includes 94,062
people in 33,580 households within a seven-mile radius. Average
household income in the area is $71,574. But with its 73,740-square-foot ShopRite
ranked as the second most visited grocer within a 30-mile
radius—drawing 1.6 million visitors over the past 12 months--the
property's patrons travel from well beyond the primary market.
"In the months ahead, we look forward to working with our
broker, Metro Commercial Real Estate, on leasing up the balance of
the center's space, introducing new tenants that will make Union
Lake Crossing even more appealing to residents in this region,"
said Mr. Irgang. "The upside from those opportunities, coupled with
the Vineland-Millville market's emergence as a growing
center for cold storage and warehouse developments, made this
acquisition very appealing to our group."
"We currently have many active proposals which are being
negotiated for the center," said Joseph
Dougherty, Executive VP and Principal with Metro Commercial.
Targeted uses include apparel, furniture, home décor, hardware/home
improvement, medical, entertainment, and restaurants. "In
particular we have the potential to add coveted drive-through lanes
for restaurants at an available endcap space as well as a
yet-to-be-developed pad site," Mr. Dougherty added.
Irgang Group was represented on the acquisition by Ben Bruner, President of the Bruner Group, while
the seller was represented by Chris
Munley, Senior Managing Director; James Galbally, Senior Managing Director; and
Colin Behr, Senior Director, all at
JLL Capital Markets.
"Mark and his team were a pleasure to work with during the
transaction. Acquiring a dominant ShopRite-anchored center such as
this will be an excellent anchor to their growing retail
portfolio," Mr. Munley said.
"With Union Lake being our team's 16th
grocery-anchored shopping center sale in 2021, the velocity behind
well positioned properties of this type remains robust. Irgang
Group acquired exactly what most investor groups are pursuing
during this competitive process," stated Mr. Behr.
"Throughout the last 12 to 18 months, we have seen exceptionally
strong demand from investors for grocery-anchored centers," Mr.
Galbally added. "The majority of the investor demand is coming from
groups that haven't traditionally invested in New Jersey or Pennsylvania, and haven't previously invested
in the retail asset class. If this demand continues, we will
continue to experience accelerated cap rate compression."
For Irgang Group, which had previously focused on multi-unit
residential and mixed-use properties in New York City, the acquisition of Union Lake
Crossing marked its second retail property transaction in the past
three months. In September, the company closed on the acquisition
of Main Street South Fulton, a 129,449-squarre-foot neighborhood
shopping center in metro Atlanta.
Kroger anchors the 100%-occupied property, joined by such other
notable tenants as Dollar Tree, Rainbow and Humana.
"We are excited about the opportunities in retail real estate
and are pursuing other acquisitions along the East and West
Coasts," said Mr. Irgang. "Our focus is on well-anchored
outdoor centers ranging in size from 100,000 square feet to 500,000
square feet of gross leasable area.
Sellers or brokers with acquisition opportunities can contact
Mr. Irgang, markirgang@gmail.com.
For leasing information on Union Lake Crossing, contact,
Joseph Dougherty,
jdougherty@matrocommercial.com
For Investment Sales information at JLL, contact: Chris Munley – c.munley@am.jll.com; James Galbally – james.galbally@am.jll.com; or
Colin Behr -
colin.behr@am.jll.com
Media contacts: At Jaffe Communications Bill
Parness, 324857@email4pr.com, (732) 673-6852, or Elisa Krantz, 4 324857@email4pr.com , (908)
789-0700.
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SOURCE Irgang Group