Bain Capital and 11North Partners have jointly acquired a significant portfolio of ten open-air retail centers spanning Florida and South Carolina for $395.5 million. This strategic acquisition, totaling approximately 1.04 million square feet, underscores the growing investor confidence in well-located, necessity-based retail assets in high-growth Southeast markets.
Key Takeaways
- Bain Capital Real Estate and 11North Partners partnered to acquire the 10-property retail portfolio.
- The transaction, valued at $395.5 million, includes centers totaling over 1 million square feet.
- The portfolio boasts high occupancy rates, with many centers anchored by Publix.
- The acquisition targets strong demographic areas benefiting from population growth and lifestyle migration.
Strategic Acquisition Details
The expansive portfolio comprises ten open-air retail centers, with a significant portion anchored by the popular grocery chain Publix. The properties are strategically situated in thriving submarkets across Florida, including Fort Lauderdale, Orlando, Tampa, and Palm Beach, as well as Charleston, South Carolina. This acquisition follows a recent joint venture purchase of three lifestyle retail centers in Oklahoma City, indicating a continued momentum for the partnership in high-conviction markets.
Portfolio Highlights
Collectively, the ten properties span over one million square feet of gross leasable area and maintain an impressive occupancy rate exceeding 93 percent. Seven of these centers feature Publix as a primary anchor, complemented by a diverse mix of national, regional, and daily-needs tenants such as Bank of America, Chipotle, Starbucks, Chick-fil-A, Jersey Mike’s, and McDonald’s. The assets are located in desirable, high-barrier communities known for robust household demographics, limited new retail supply, and sustained population growth.
Investment Rationale
Brian Harper, Founder and Managing Partner of 11North, highlighted the opportunity to establish their platform in strong, in-demand communities experiencing significant demographic shifts, including lifestyle migration and an aging population. He noted the expansion of their presence in Florida with this high-performing portfolio, now featuring grocery-anchored assets with Whole Foods, Trader Joe’s, and Publix, all demonstrating strong average grocery sales volumes. Martha Kelley, Managing Director at Bain Capital Real Estate, emphasized that the scaled acquisition aligns with their thematic investment approach in open-air, necessity-based retail within attractive growth regions. The partnership, formed in April 2024, targets open-air retail assets with a high concentration of necessity-based tenancy and long-term consumer demand drivers.
Sources
- 10-Property open-air retail portfolio trades hands for $395.5M in Florida and South Carolina, JLL.
- Bain Capital and 11North Partners Acquire Portfolio of 10 Open-Air Retail Centers Across Florida and South
Carolina, Bain Capital.