A strip center in Pasadena at the corner of Lake Avenue and Orange Grove Boulevard has sold for an undisclosed sum.
Central Business Management’s Rick Rivera represented the buyer and the seller in the transaction.
The center, which is located at 701-707 Lake Ave., is more than 5,000 square feet and sits on a nearly 16,000-square-foot lot.
The site is anchored by a Goodwill Industries International Inc. store, and other tenants include Cash 1 and Lakeview Dental Corp.
“Considering recent circumstances, this was by no means an easy deal to close,” Rivera said in a statement. “Two of the three current tenants were ordered closed by both state and local governments.”
Rivera added that the buyer still saw an upside.
“This is a valuable piece of real estate. … A remodeled property in excellent condition, on a strong corner, surrounded by a freestanding Walgreens pharmacy, a 76 gas station, and 7-Eleven-anchored strip center, all of which are thriving despite the Covid-19 pandemic,” Rivera said in a statement. “And while the property may not be at the height of its income-generating powers at the moment, it holds incredible potential. And always will. A fact the buyer fully recognized.”
Covid-19 has had a crippling effect on retail.
In April, rent collections ranged from 10% to 20% for malls to 55% to 80% for grocery- anchored centers, according to CBRE Group Inc.
Retail properties are expected to take longer to reach pre-Covid levels of rent and leasing than other asset types, according to the group.
That doesn’t mean, though, that all buyers are shying away from retail properties.
The 98,000-square-foot Inglewood Plaza recently sold for $29 million, for example.
A joint venture of Stone Hill Capital, Downtown Holdings and Urban Center Holdings purchased the three-building property from Mid-Wilshire-based CIM Group.
Tenants include Burlington Stores Inc. and CVS Pharmacy.
A 5,000-square-foot retail property at 8532 Melrose Ave. in West Hollywood also recently sold for $20.6 million.
Century-City Blatteis & Schnur Inc. purchased the property from a New York-based investor.
