Valencia area LA Fitness, Smart & Final and others to get new landlord.

Santa Clarita’s Gateway Village Shopping Center on Newhall Ranch Road near WalMart in Valencia has been acquired by Grosvenor Investment Management of Philadelphia (GIM) for $66.4 million. 

The 153,687 square foot shopping center was built in 2005 and was previously owned by Woodland Hills-based Rye Canyon Gateway Plaza LLC, an affiliate of RKR, the original builder.

Current tenants include LA Fitness, Smart & Final, Amigos Flooring, Relax the Back, Sushimi, George’s Bistro and more. The number of car trips passing by this shopping center has apparently doubled since the opening of the nearby roads and the Cross Valley Connector, which increased the value of the property to potential investors.

"The customer base is significantly more, and the buyer is provided the opportunity to lease the vacant space to a quality tenant and increase overall rents," says Donald MacLellan of Faris Lee Investments, who represented the seller. MacLellan also states that the Gateway Village Center is currently 87% occupied.

From MacLellan’s comment, it looks like existing tenants can expect to see rent increases sometime in the not so distant future! Expect some new tenants as well.  "Existing vacancies give us the opportunity to improve the mix of retail services," says Gary Lyon, managing director of acquisitions for GIM.

You can follow any responses to this entry through the RSS 2.0 feed. Responses are currently closed, but you can trackback from your own site.