HOUSTON – (Realty News Report) – Sterling Organization has acquired the Cinco Ranch Shopping Center, a 97,266-SF grocery-anchored shopping center located in the Katy area in West Houston.
The property was purchased on behalf of Sterling Organization’s institutional grocery-anchored shopping center core fund, Sterling United Properties II, LP for $21.25 million or $218 per SF.
Located near Westheimer Parkway and Mason Road, the center is currently 94% leased and anchored by a 63,373-SF Kroger grocery store. In a three-mile radius, submarket that has over 123,000 people living with an average household income of over $142,000.
“We are pleased to add an asset of Cinco Ranch’s quality to our growing SUP II portfolio,” said Brian Kosoy, Managing Principal and CEO of Sterling Organization, which is based in West Palm Beach. “Our core fund’s strategy of investing in market-leading grocery-anchored shopping centers has provided significant downside protection during the ongoing COVID-19 pandemic. The stability and resilience exhibited by these properties have not been a surprise to us, and Cinco Ranch Shopping Center should deliver the same consistent and durable cash flow our investor partners have come to expect. We remain optimistic about the opportunities ahead for this fund and the sector as a whole,” he added.
Cinco Ranch Shopping Center marks Sterling Organization’s fourth asset in Texas and the eighth in their SUP II Fund, increasing the Fund’s portfolio to eight grocery-anchored shopping centers and approximately 1 million SF.
Cinco Ranch, home to 12,000 families, is an 8,100-acre community developed by Newland Communities 32 miles west of downtown Houston.
In a major transaction in 2017, the LaCenterra at Cinco Ranch mixed-used use development was sold. PGIM Real Estate, part of Prudential Financial, has acquired LaCenterra at Cinco Ranch, a 412,900-SF mixed-use lifestyle center on 34 acres near the Grand Parkway, on the west side of Houston. The developers selling the property – Vista Cos. of Houston and Denver-based Amstar Group were represented by Eastdil Secured. The center includes 273,522 SF of retail (93 percent leased) and 140,000 SF of office (89 percent leased) and two half-acre parks.
May 5, 2021 Realty News Report Copyright 2021
Image: Courtesy Sterling Organization.
File: Sterling Buys Cinco Ranch Center for $21 Million
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File: (2) Sterling Organization. Westheimer Parkway. Sterling Buys Cinco Ranch Center for $21 Million