Merlone Geier, a retail investment company based in San Francisco, is looking to dispose of more of its Southern California properties. After recently disposing of two shopping centers in Palmdale, a listing from Newmark shows that the company is also looking to sell off a 103,548 square foot shopping center in Chula Vista for $28.71 million, or about $277 per square foot.
Located at 2310 Proctor Valley Road, the property – also known as The Shops at San Miguel – was built in 2007. According to public records, Merlone Geier acquired the property in 2010 for $19.8 million, or $191 per square foot.
Currently, the property is 89.6 percent leased to various tenants, including Albertsons, Starbucks, Subway, Sherwin Williams, Verizon, Anytime Fitness, Pizza Hut and more.
While nearly fully leased, the property is only about 37 percent occupied, according to Newmark. The 52,422 square feet leased to Albertsons, for instance, is dark. However, the grocery tenant is required to pay rent until May of 2027. Additionally, another 7,000 square feet of shop vacancy is available for lease up.
The property is located just east of State Road 125 and near several other retail properties. The Eastlake Village Marketplace is located just south of the property, and is home to various occupants, including Trader Joes, Lowes and Target.
Chula Vista is also home to a large population, with more than 42,000 people living within two miles of the shopping center. Average household incomes within two miles of the property also reach $133,000 per year.
“San Diego continues to be one of the most sought after and desirable investment markets in the country. Continued residential and population growth, coupled with tenant demand and limited supply, will maintain this trend for the foreseeable future.”
Although Merlone Geier is based in San Francisco, the investment company maintains a significant presence in Southern California as well. Over the past couple of months, the company has been busy trading retail assets across Southern California.
Most recently, Merlone Geier sold off a 250,000 square foot shopping center located at 38003 47th Street in Palmdale for $56.75 million, or about $227 per square foot. A month prior to that, the company sold off an additional Palmdale asset at 39340 10th Street W. for $57.3 million, or $276 per square foot.
