The 857,498-square-foot Centennial Center was included in the acquisition.Las Vegas — Inland Diversified Real Estate Trust has entered a joint venture to acquire a majority interest in a portfolio of six grocery- or home improvement-anchored retail properties in Las Vegas. The value of the portfolio, which includes approximately 1.7 million square feet, is $296.3 million.
The six properties comprise what is known as the Territory Portfolio. Las Vegas-based Territory Inc., the seller, originally developed several of the properties through joint venture limited liability companies. All of the assets were built between 1999 and 2009. Inland Diversified's joint venture partner in the transaction includes affiliates of Territory Inc.
Inland purchased less than a 100 percent interest in some of the properties. Therefore, the limited liability companies retain membership interests in the joint venture that owns the properties, according to Barry Lazarus, president and COO of Inland Diversified.
The 857,498-square-foot Centennial Center is anchored by a Walmart Supercenter, Sam's Club and Home Depot. Centennial Gateway, located next to Centennial Center, includes 193,009 square feet of retail space. Tenants include Sportman's Warehouse, 24 Hour Fitness, Walgreens and Smashburger.
The 525,225-square-foot Eastern Beltway and 96,604-square-foot Eastgate are both anchored by a Walmart Supercenter. Other properties included in the portfolio are the 44,472-square-foot Cannery Corner, as well as the 30,408-square-foot Lowe's Plaza.
Lou Quilici, senior vice president of Inland Real Estate Acquisitions Inc., represented Inland Diversified in the transaction.
"We feel that this portfolio offers a strong mix of anchor tenants in key demographic areas in Las Vegas," says Quilici. "Population around the centers averages more than 100,000 people, with average household incomes around $81,000, which indicates a very stable base of shoppers. This stability is evidenced by the long-term tenancy and strong renewal rate for the vast majority of the tenants despite the economic slowdown over the past several years."
Inland Diversified is a public, non-listed real estate investment trust based in Oak Brook, Ill. As of September 2012, the company owned 4.4 million square feet of commercial real estate and 444 multifamily units.