Bain Capital and 11North Partners have jointly acquired a portfolio of ten open-air retail centers for approximately $395 million. The strategic acquisition spans prime locations across Florida and South Carolina, bolstering the partners’ presence in high-growth Sun Belt markets. This move underscores a continued focus on necessity-based retail.
Key Takeaways
- Bain Capital and 11North Partners acquired 10 open-air retail centers for $395 million.
- The portfolio is primarily anchored by Publix and includes a mix of national and daily-needs tenants.
- Properties are located in high-demand Florida submarkets and Charleston, South Carolina.
- The joint venture aims to acquire and operate open-air retail centers across the U.S. and Canada.
Strategic Acquisition Details
The newly acquired portfolio comprises over one million square feet of gross leasable area, boasting an occupancy rate exceeding 93 percent. Seven of the ten centers feature Publix as a primary anchor tenant, complemented by a strong roster of national and regional retailers such as Bank of America, Chipotle, Starbucks, Chick-fil-A, Jersey Mike’s, and McDonald’s. The properties are situated in desirable, high-barrier communities known for robust demographics and limited new retail supply.
Market Focus and Partnership Strategy
The acquired centers are strategically located in Florida’s Fort Lauderdale, Orlando, Tampa, and Palm Beach areas, as well as Charleston, South Carolina. This acquisition follows the joint venture’s recent purchase of three lifestyle retail centers in Oklahoma City, highlighting their momentum in high-conviction markets. The partnership between Bain Capital Real Estate and 11North Partners, formed in April 2024, specifically targets open-air retail assets with a strong concentration of necessity-based tenants and enduring consumer demand drivers.
Investment Rationale and Future Outlook
Brian Harper, Founder and Managing Partner of 11North, emphasized the opportunity to embed their platform in strong communities benefiting from demographic shifts in the Southeast. He noted the addition of Publix-anchored centers to their portfolio, which already includes Whole Foods and Trader Joe’s, reinforcing their focus on trusted grocery-anchored assets. Martha Kelley, Managing Director at Bain Capital Real Estate, stated that the acquisition aligns with their thematic investment approach in necessity-based retail within attractive growth regions. The joint venture plans to continue building a high-quality portfolio in markets where they have long-term conviction.
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.