PHILADELPHIA, PA — Holliday Fenoglio Fowler, LP (HFF) has closed the $6.275 million sale of Treasure Island Retail and the $7.25 million sale of Treasure Island Storage, two assets located on adjoining sites in the Philadelphia suburb of Cherry Hill, NJ. HFF marketed both properties on behalf of the seller, Cayre Equities, who sold the properties in two separate transactions. An affiliate of Paragon Realty Group LLC purchased Treasure Island Retail, and Extra Space Storage purchased Treasure Island Storage.Treasure Island Retail and Treasure Island Storage share an adjoining 9.38-acre site located at 101 Church Rd. in Cherry Hill, a suburb five miles from Philadelphia. The property is across the street from Cherry Hill Mall, and there are 280,941 residents living within a five-mile radius of the assets with an annual average household income in excess of $81,000. The 107,390 s/f Treasure Island Retail is 100% leased to two tenants, Ashley Furniture HomeStore and Ollie’s Bargain Outlet. Treasure Island Storage’s thr
ee-story facility spans 98,214 net rentable s/f and houses 762 climate-controlled units in addition to 13 surface parking spaces. The facility features a ground-floor loading area, commercial loading docks and retail supplies on site.The HFF team representing the seller in the Treasure Island Retail transaction was led by managing director Chris Munley.
The HFF team representing the seller for the Treasure Island Storage transaction was led by managing director Richard Schontz and director Barbara Guffey.“The Treasure Island Storage and retail property is a unique asset developed by the seller, who owns several types of commercial real estate investments,” Schontz said. “Prior to going to market, we advised the seller to create a condominium structure to allow for flexibility in the marketing process. We were able to offer the property to the market as one asset or individual assets and uses, which allowed us to access the appropriate buyer pool for each use. Ultimately, were able to create more activity, yielding 15 offers and a significant premium in the sale price by selling each condominium to separate buyers.” “This is a great example of how HFF approaches each deal by putting the best team on the field,” Munley added. “We were able to work as a team across our product specialties to think creatively and execute on a complicated deal.” HFF has closed the $6.4 million sale of Nottingham Shopping Center, a 24,396 s/f retail center with a freestanding Walgreens in Hamilton, NJ.
HFF arranged the sale of the property on behalf of the seller, Mercer Realty, LLC. The buyer, an affiliate of privately-held real estate investment firm PAG Investments, was represented by Chaim Dahan Esq, of The Dahan Law Firm.The HFF investment sales team representing the seller was led by managing director Chris Munley and senior managing director Jose Cruz. “With retail cap rates continuing to compress in the Mid-Atlantic, acquisitions that have a value-add component are in high demand,” Munley said. “The security of the Walgreen’s credit and cash flow, compounded by the ability to develop further retail on the site, made this property a highly sought after asset.”