Jones Lang LaSalle

Retail Building Sells for $533 per SF
By Eric Peterson Last updated: November 16, 2005 10:30am

FLORENCE, NJ-MACY Holdings LLC, a Wisconsin-based group has acquired a 13,813-sf, single-tenant retail building at the northwest corner of Route 130 North and Delaware Ave. here for just over $7.36 million. That sale price translates as $533 per sf.
The seller, MS Investments Two LLC, an Atlanta-based company, was represented by Mark Taylor and Dean Zang of the Taylor-Zang Retail Investment Group of Marcus & Millichap’s Philadelphia office. The buyer completed a 1031 tax deferred exchange with the purchase of the property.
The building is fully leased by Eckerd Drug (Jean Coutu), and subleased by Rite Aid. Eckerd signed a new 20-year triple-net lease for the property this past summer, but after the Canadian-based Jean Coutu drug chain acquired the northeast corridor’s Eckerd’s stores, the new owner re-evaluated the various sites and projected costs of occupancy relative to store sales, according to Taylor.
This specific site was one of those that didn’t fit Jean Coutu’s business model, according to Taylor, and the company brought in rival Rite Aid as a sub-tenant. The latter began paying rent for the building this month.