Ewa Beach, Hawaii — Terramar Retail Centers has purchased the Laulani Village Shopping Center, a newly developed, 223,000-square-foot neighborhood retail center in Ewa Beach in Oahu, for $99.5 million. Terramar, a privately held commercial real estate investment, management and development firm, purchased the asset from Property Development Centers, a subsidiary of Safeway Inc.
"This is a strategic, high-quality addition to Terramar's retail portfolio. Grocery-anchored retail centers like Laulani Village are solid, long-term performers and a top target for Terramar Retail Centers as we continue an aggressive expansion of our portfolio," says Steve Bowers, president and CEO of Terramar Retail Centers. "The Ewa Beach area is experiencing prolific growth and the center has a dominant location with leading retailers in a region with very strong demographics and a large customer base."
A 60,000-square-foot Safeway anchors Laulani Village, which also features a 33,000-square-foot City Mill hardware store and 35 shops and restaurants, including Petco, Ross Dress for Less, Walgreens, Starbucks Coffee, Panda Express and Teddy's Bigger Burger. Safeway and City Mill opened in 2012, while the remaining stores opened in 2013. The center is currently 89 percent occupied with additional stores to be completed and opened this year.
Located on approximately 20 acres at the corner of Fort Weaver Road (Route 76) and Keaunui Drive, the property is at the center of the Ewa Beach residential neighborhoods of the Trades, Ocean Pointe, Hoakelei at Ka Makana, Huelani and Haleakea.
"With more than 20 percent population growth projected in the area between 2010 and 2018, West Oahu is fast becoming a secondary urban center on the island of Oahu," says Matthew Smith, vice president of acquisitions for Terramar Retail Centers. "Located only 10 miles west of Honolulu and neighboring Pearl Harbor (two major employment centers), this area has become a very popular place to live given its newly built master-planned communities, affordable housing, strong schools and close proximity to all of Hawaii's immense outdoor recreational activities."
CBRE will oversee the management for Terramar Retail Centers, and Jones Lang LaSalle will continue leasing the center.
Jeff Weber, Chris Hoffmann, Rob Wehmueller and Kerrie Weis of Eastdil Secured marketed the property on behalf of the seller. Terramar represented itself in the transaction.
Terramar's current portfolio contains 22 properties spanning more than 4.5 million square feet. The company's portfolio is concentrated in the Western United States, with properties in Washington, Oregon, California, Hawaii and Colorado.
— John Nelson