The Shoppes at Prairie Ridge is part of a 15-property retail real estate portfolio that Inland Real Estate Income Trust is buying from Indianapolis-based Kite Realty Group Trust for $318 million. The deal could include a 16th property, the Village at Bay Park shopping center in Green Bay, which would increase the sale price of the portfolio to $338 million.
The Shoppes at Prairie Ridge is located at the southeast corner of Highway 50 and 104th Avenue in Pleasant Prairie. Tenants include: Target, JC Penney, Dick’s Sporting Goods, PetSmart and Ulta Cosmetics. The Target store is owned by Target and is not part of the sale, but the rest of the shopping center is being acquired by Inland, which is acquiring 232,606 square feet of retail space at the Shoppes at Prairie Ridge, according to the SEC filing.
Mid-America Real Estate Wisconsin will continue to market the Shoppes at Prairie Ridge.
Built in 2009, the Shoppes at Praire Ridge is 96.9 percent occupied, according to the SEC filing. Dick’s Sporting Goods leased 50,000 square feet of space and its lease expires in 2019. JC Penney leases 104,175 square feet and its lease expires in 2034.
Average annual rent per square foot at the Shoppes at Prairie Ridge is $9.95, according to the SEC filing. There is a population of more than 78,680 and the average household income is more than $59,849 within a five mile radius of the shopping center.
The properties in the portfolio being acquired by Inland are located in eight states and also include the Fox Point Plaza, a 171,121-square-foot shopping center anchored by a Pick ‘n Save store in Neenah, and a 69,911-square-foot Copps grocery store property in Stevens Point, both of which are also marketed by Mid-America Real Estate.
The portfolio deal is expected to close in two tranches on or before Dec. 15 and March 16, 2015.
In July, Kite Realty acquired Inland Diversified Real Estate Trust Inc. for $1.2 billion. Inland Diversified Real Estate Trust and Inland Real Estate Income Trust are both real estate investment trusts that were sponsored by Oak Brook, Ill.-based Inland Real Estate Investment Corp., but they are separate companies.