Gung-Ho for Value-Add Retail
Value-add is all the rage in Charlotte retail right now, NorthState Capital Partners managing member Shane Buckner tells us. He ought to know: he did a successful value-add deal this spring, and is eager to do it again. (Once you pop, you can't stop.)
Recently Shane and BCB Investments owner David Dupree--both based in Denver, NC--led investment group Whitehall Corners Retail Group in the acquisition of a value-add retail property: 7808 S Tryon St in Charlotte, which is only 23% occupied. This spring, Shane and David formed a JV expressly for buying that kind of property, and their first deal was the acquisition of 7520 S Tryon St, which was 72% leased at the time of the acquisition. Now it's 96% leased. (It's not as easy to play hide-and-seek there anymore.) "We hope to replicate the success we've had at Cedar Ridge," he says.
Shane adds that the investors are looking at a number of options to add value to the 7808 S Tryon property. "We're looking at changing the landscaping to improve visibility for the center, and exploring additional signage options at the entrances of both Arrowood Road and South Tryon St," he explains. They're also considering up-fitting one of the shell spaces in order to have a move-in ready space for prospective tenants. "Most importantly, however, we believe our lease terms will be among the most competitive in that market, which will be attractive value proposition for prospective tenants."