ALTO Real Estate Funds, together with M & J Wilkow, announces the recent sale of Cranberry Square, a 195,165 square foot retail center located in Cranberry Township, PA in Pittsburgh MSA. The property sold for $33.2 million and was purchased in 2018 for $23.5 million at a cap rate of 9%.
Cranberry Square is centrally located in one of greater Pittsburgh’s most affluent and fastest growing suburbs. The property is home to top national retailers including Public Lands (Dick’s Sporting Goods subsidiary), Best Buy and Barnes & Noble, and is shadow anchored by Walmart and Costco. Strategically positioned at the Township’s most prominent intersection, Route 19 and Route 228, Cranberry Square sees traffic counts in excess of 70,000 cars per day.
Mody Kidon, Co-Founder and active Chairman for ALTO Real Estate Funds:" Despite the increase in interest rates, we see that the good retail properties located in good areas are very attractive to both tenants and investors, thus we sold Cranberry at a cap rate of 7.15%. Thanks to the asset’s location, our massive enhancement strategy, and our great working relationship with M&J Wilkow, we succeeded in finalizing the transaction with a great result to our investors”
Marty Sweeney, Senior Vice President of Acquisitions for M & J Wilkow stated, “With great confidence in the Cranberry trade area, we strategically repositioned the asset through new leases with Harbor Freight, Plato’s Closet, and Dick’s Sporting Good’s first Public Lands experiential store. We also secured long term renewals with Best Buy and Barnes & Noble. Consequently, the property’s value increased significantly, allowing for ownership to sell the property for $33.2 million and delivered its investors an IRR of over 18%.”
About ALTO Real Estate Funds
ALTO Real Estate Funds has invested in 75 properties with a total value of $1.4 billion and a total of 14 million SF. ALTO’s investment strategy focuses on investments in ground-up development and management of industrial properties and open-air shopping centers in 12 fast-growing territories in the US. For more information, visit www.alto-investments.com
About M & J Wilkow
M & J Wilkow is a leading commercial real estate owner and operator dedicated to creating value for its investors. The Company’s approach to real estate emerged distinctively from an owner's perspective and has evolved over 82 years in the real estate business. M & J Wilkow’s portfolio consists of 85 properties consisting of approximately 13.9 million square feet. The aggregate market value of the portfolio is estimated to be in excess of $3 billion. For more information, visit www.wilkow.com.