Consolidated-Tomoka Land Co. has acquired the Westcliff Center, a 136,000 square foot grocery-anchored shopping center located at 3563 Alton Rd. in Fort Worth.
Daytona Beach, Florida-based Consolidated Tomoka (NYSE CTO) announced the acquisition on March 2, saying it paid $15.0 million at a 6.28 percent cap rate for the property.
The property is an in-fill location situated on approximately 10.3 acres and consists of four single-tenant properties and one multi-tenant property situated on three separate, but contiguous, land parcels, according to the Consolidated Tomoka news release. The anchor property is an approximately 39,000 square-foot building leased to Albertsons under a triple-net lease with approximately five years remaining at a lease rate well below the current market rental rate. Cook Children’s Health Foundation leases the second largest property, an approximately 38,000 square-foot office building, under a triple-net lease with approximately two years remaining, also at a rental rate below current market rates, according to the news release. The multi-tenant property is approximately 55,000 square-feet and is anchored by Dollar General and Ace Hardware. The property, in aggregate, is approximately 96 percent leased with a weighted average remaining lease term of approximately 4.1 years.
“This property represents the purchase of a large land parcel with future renovation possibilities, that is leased to several credit tenants with the potential to increase the yield by going from low in-place rental rates to market rates,” said John P. Albright, president and CEO, “With this purchase we have reinvested a substantial portion of the recent $27 million land sale to Minto Communities. This acquisition brings our total 2017 investment activity to approximately $19 million.”