Bain Capital and 11North Partners have jointly acquired a significant portfolio of ten open-air retail centers spanning Florida and South Carolina for approximately $395.5 million. This strategic acquisition, primarily anchored by Publix supermarkets, underscores the partners’ focus on high-growth markets and necessity-based retail.
Key Takeaways
- A portfolio of ten open-air retail centers across Florida and South Carolina has been acquired for $395.5 million.
- The centers are predominantly anchored by Publix and feature a strong mix of national and daily-needs tenants.
- The acquisition reflects a joint venture strategy focused on acquiring and operating open-air retail centers in the U.S. and Canada.
Strategic Acquisition Details
The transaction involves ten properties strategically located in thriving submarkets of Florida, including Fort Lauderdale, Orlando, Tampa, and Palm Beach, as well as Charleston, South Carolina. These centers collectively offer over one million square feet of gross leasable area and boast an occupancy rate exceeding 93 percent.
The portfolio includes well-known centers such as Sawgrass Square, Plantation Promenade, Miramar Commons, Rolling Oaks, Promenade at Poinciana, Solivita Marketplace, New Tampa Center, Lake Worth Plaza, Garden Shops at Boca, and Point Hope Commons.
Tenant Mix and Market Appeal
Seven of the ten centers are anchored by Publix, a highly trusted grocery name. The tenant roster also includes a diverse array of national and regional retailers providing daily needs and services, such as Bank of America, Chipotle, Starbucks, Chick-fil-A, Jersey Mike’s, and McDonald’s. This strong tenant mix contributes to the centers’ appeal in high-barrier, desirable communities known for robust household demographics, limited new retail supply, and sustained population growth.
Investment Strategy and Future Outlook
Brian Harper, Founder and Managing Partner of 11North, highlighted the opportunity to embed their platform in strong communities benefiting from demographic shifts in the Southeast. He noted the combined portfolio now includes Whole Foods, Trader Joe’s, and Publix, with average grocery sales volumes around $1,000 per square foot, indicating the quality and resilience of these assets.
Martha Kelley, Managing Director at Bain Capital Real Estate, emphasized that the acquisition aligns with their thematic investment approach in open-air, necessity-based retail within attractive growth regions. The joint venture, formed in April 2024, targets open-air retail assets with a high concentration of necessity-based tenancy and long-term consumer demand drivers.