Chester shopping center sells for $18.6M

Bermuda Square shopping center in Chester has been sold for $18.6 million, according to Cushman & Wakefield | Thalhimer’s Capital Markets Group.

Brentwood, Tennessee-based GBT Realty Corp. acquired the 84,064-square-foot property, its first investment in the Richmond market, on Nov. 26 from Giant Food Stores, the parent company of Martin’s grocery stores, according to Catharine M. Spangler, senior vice president for Thalhimer’s Capital Markets Group.

“This asset is an ideal acquisition for GBT, given its immediate upside potential, locational drivers and strong property fundamentals,” said Scott Porter, managing director, Capital Holdings, GBT Realty.  “We made significant progress in backfilling the existing anchor vacancy and solidifying tenancy for the undeveloped parcel during due diligence.  We expect to add a few new names to our tenant lineup soon.”

Giant purchased the 14.65-acre property in October 2017 for $14 million from Site Centers following the closure of 19 Martin’s stores in Richmond. The big box space once occupied by Martin’s was still vacant at the time of the sale to Bermuda Square Venture LLC.

Located at the intersection of Jefferson Davis Highway and West Hundred Road, the shopping center is occupied by tenants including PetCo, SunTrust Bank, Starbucks, Chipotle, Mattress Firm, Shoney’s and Virginia ABC.

Spangler handled the sale negotiations while David Crawford and Pete Waldbauer served as leasing advisers during the disposition.

The shopping center includes two multi-tenant buildings and six single-tenant outparcels along with a roughly 6-acre improved pad site. It’s valued at $221 per square foot.