By Keith Loria, Contributing Editor
InvenTrust Properties Corp. has acquired Kyle Marketplace, a 226,000-square-foot retail center in Kyle, Texas for $59 million.
“This transaction will allow us to continue to build our asset base and concentration in the high-growth MSA of Austin,” Michael Podboy, InvenTrust’s executive vice president, CFO & CIO, said in a prepared release. “We are pleased to be acquiring a property that includes the region’s top grocer in one of our target markets. With this acquisition, IVT now owns eight centers in the Austin market, providing us with valuable scale and delivering operational efficiencies.”
The property is anchored by H-E-B Plus and features nationally known tenants such as Chase, Starbucks, Subway, and Whataburger. It was 98 percent leased at the time of the sale.
“The center has a strong grocery anchor tenant with H-E-B Plus, drives high traffic and makes this property attractive for other internet resistant retailers,” added Christopher Covey, InvenTrust’s senior vice president of transactions. “The asset builds on our existing strategy and will be accretive to InvenTrust’s portfolio.”
Located at 5401 Farm to Market 1626 in the south Austin suburb, the center sits approximately 20 miles south of the Austin CBD.
According to Marcus & Millichap’s most recent Austin Retail Market Report, approximately 40,000 individuals migrated to the metro area in the last year and more than 23,000 households were formed during this time. Healthy demographics have driven retail demand.
The report reveals that retailers are flocking to locations near new housing developments, particularly in Cedar Park and Mueller, both not too far from Kyle.
It’s been a busy year for InvenTrust. In February, the firm acquired The Shops at Town Center, a 125,000-square-foot retail center located in Germantown, Md., and also acquired Paraiso Parc and Westfork Plaza, two adjacent retail centers in Pembroke Pines, Fla., for $163 million.
Overall, InvenTrust owns and manages 85 retail properties, representing 15.2 million square feet of retail space, and one non-core property.
Photo courtesy of InvenTrust Properties Corp.