By Adrian Maties, Associate Editor
Armada Hoffler Properties Inc. is looking to add another retail power center to its portfolio. On Monday, Aug. 4, the diversified Virginia Beach-based company announced that it is under contract to buy Dimmock Square Shopping Center in Colonial Heights. The deal is expected to close in the third quarter.
Armada Hoffler will acquire the property in exchange for about 990,000 units of limited partnership interest in its operating partnership and approximately $10 million in cash.
Dimmock Square offers more than 100,000 square feet of retail space and is fully occupied. Its tenant roster includes Best Buy, Pier 1, Old Navy, Dress Barn and Shoe Carnival. The shopping center also includes a separately-owned 117,000-square-foot Target store.
“This acquisition is an outstanding addition to our portfolio, representing a best-in-class power center located at the intersection of main-and-main, in a contiguous market, the heart of our geographic sweet spot,” said Armada Hoffler CEO Louis Haddad in a statement. “This opportunity was born out of deep and longstanding relationships and we will continue to pursue such strategic and opportunistic acquisitions.”
According to CBRE Group Inc., metropolitan Richmond’s retail market was highly active during the first half of the year. Vacancy dropped 0.4 percent to 8.6 percent in the second quarter, while average asking rents inched up 2 cents per square foot to $16.13.
Charts courtesy of CBRE Group Inc..