Bain Capital Real Estate and 11North Partners have jointly acquired a 10-property open-air retail portfolio spanning Florida and South Carolina for $395.5 million. The portfolio, totaling approximately 1.04 million square feet, is predominantly anchored by Publix and features a strong mix of national and daily-needs tenants. This strategic acquisition highlights investor confidence in high-growth Southeast markets and necessity-based retail centers.
Key Takeaways
- A 10-property open-air retail portfolio in Florida and South Carolina has been sold for $395.5 million.
- The buyers are Bain Capital Real Estate and 11North Partners.
- The portfolio comprises approximately 1.04 million square feet and boasts high occupancy rates.
- Many centers are anchored by Publix, alongside other national and daily-needs retailers.
- The acquisition targets strong demographic markets with sustained population growth.
Portfolio Details and Strategic Value
The acquired portfolio includes prominent retail centers such as Plantation Promenade, Sawgrass Square I & II, Garden Shops at Boca, Rolling Oaks, New Tampa Center, Miramar Commons, The Promenade, Point Hope Commons, Solivita Marketplace, and Lake Worth 441. With an overall occupancy rate of 91.6% to 93%, the centers are situated in affluent trade areas benefiting from strong demographics, including an average household income of over $101,000 within a three-mile radius. Seven of the ten centers are anchored by Publix, a highly trusted grocery name, further enhancing their appeal and stability. The tenant mix also includes well-known brands like Bank of America, Chipotle, Starbucks, Chick-fil-A, Jersey Mike’s, and McDonald’s, underscoring the daily-needs nature of these locations.
Investor Sentiment and Market Outlook
Danny Finkle of JLL Capital Markets noted the rarity of acquiring such a high-quality and scaled portfolio in desirable Southeast markets, emphasizing the strong investor demand for best-in-class retail centers with stable occupancy and strong anchor tenants. Brian Harper, Founder and Managing Partner of 11North, views the transaction as an opportunity to establish their platform in robust communities experiencing significant demographic shifts, including lifestyle migration and an aging population. Martha Kelley, Managing Director at Bain Capital Real Estate, stated that the acquisition aligns with their thematic investment approach in open-air, necessity-based retail in attractive growth regions. This acquisition follows Bain Capital and 11North’s recent purchase of three open-air lifestyle retail centers in Oklahoma City, signaling continued momentum in their strategy.