HOUSTON, TX - August 4, 2014 – HFF announced today that it has closed the sale of Spring Cypress Village, a 101,371-square-foot, grocery-anchored retail center in northwest Houston.
HFF marketed the property on behalf of the seller, Delaware Life Insurance Company, formerly known as Sun Life Assurance Company of Canada (U.S.), through its advisor, Guggenheim Partners. Phillips Edison and Company purchased the asset for an undisclosed amount.
Spring Cypress Village is situated on 15.69 acres at the intersection of State Highway 249 and Spring Cypress Road. The grocery-anchored property was renovated in 2007 and is leased to national and regional tenants, including Sprouts Farmers Market, Spec’s Liquor, YES Kids Fitness, Wolfies Bar & Grill, State Farm Insurance, Earthwise Pets and a freestanding Burger King.
The HFF investment sales team representing the seller was led by senior managing director Rusty Tamlyn, managing director Ryan West and associate director Matt Berry.
“Spring Cypress Village is just one of a few assets where Sprouts was able to breathe new life into an older, yet well-located project in Houston,” West said. “We recently sold Kirkwood Marketplace, another asset where Sprouts backfilled the anchor position and we are currently marketing Copperfield Village where the same scenario played out in an old Randalls’ box.”
“The regeneration of these assets is the result of pent up tenant demand in a tempered retail development environment,” Berry added. “For that same reason, buyers are able to underwrite significant rental growth across the small shop space as any new retail project will often require nearly double the rent most of these established small shop tenants are currently paying in these projects.”
Guggenheim Partners is a global investment and advisory firm with more than $210 billion in assets under management. The firm provides asset management, investment banking and capital markets services, insurance services, institutional finance and investment advisory solutions to institutions, governments and agencies, corporations, investment advisors, family offices and individuals. Guggenheim Partners is headquartered in New York and Chicago and serves clients around the world from more than 25 offices in eight countries. For more information about Guggenheim Partners, visit guggenheimpartners.com.
Phillips Edison & Company is a fully integrated retail real estate company with a portfolio of more than 31 million square feet of shopping centers across the country. Since 1991, the firm’s primary mission has been to purchase under-performing, grocery-anchored properties and maximize their value through hands-on leasing, management and redevelopment. Their portfolio now includes more than 260 properties that meet the everyday shopping needs of communities from coast to coast.
HFF (Holliday Fenoglio Fowler, L.P.) and HFFS (HFF Securities L.P.) are owned by HFF, Inc. (NYSE: HF). HFF operates out of 23 offices nationwide and is a leading provider of commercial real estate and capital markets services to the U.S. commercial real estate industry. HFF together with its affiliate HFFS offer clients a fully integrated national capital markets platform including debt placement, investment sales, equity placement, advisory services, loan sales and commercial loan servicing. For more information please visit hfflp.com or follow HFF on Twitter at twitter.com/hff.