CBRE Arranges $50.3 Million Sale of Grocery Shadow-Anchored Shopping Center in Las Vegas

CBRE announced the sale of Mountain’s Edge Marketplace, a +115,037-square-foot neighborhood shopping center shadow-anchored by Albertsons, situated in the master-planned community of Mountain’s Edge in Las Vegas, Nevada. The property was sold to an accomplished out-of-state investor for $50,305,000, or $437 per square foot.

Roy Fritz and Preston Fetrow of CBRE’s National Retail Investment Partners-West led the transaction representing the seller, Remington Nevada, a private investment firm based in Las Vegas, focused on developing Class A retail shopping centers in the Southwest.

Mountain’s Edge Marketplace is located on +/- 14.79 acres at 7975 Blue Diamond Rd. The property, which was built in 2016, is 98% leased to 40 national and local retailers, including Ross, Planet Fitness, Starbucks, Supercuts, The UPS Store, China A Go Go, and T-Mobile, along with a complementary mix of national, regional, and local retailers, service providers, and restaurants surrounding the grocery anchor Albertsons.

The seller, Remington Nevada, was approached with an off-market offer touted at $48 million from an institutional investor owning a significant retail portfolio in the western US. Remington Nevada inquired with CBRE, asking the team if it should take the deal. CBRE encouraged Remington Nevada to expose the property using a broad-reaching marketing campaign to leverage the CBRE team’s proven process.

CBRE generated three offers within two weeks and negotiated a full-price offer at $50.3 million, a 6.30% cap rate and a 30-day due diligence period. CBRE qualified the three bidders through a counter-offer process, ultimately selecting a buyer that would perform and be approved for the loan assumption by the special and master servicers.

The purchase included an assumption of a $33 million CMBS loan requiring the new borrower to engage a loan expeditor to facilitate the process. The transaction closed three weeks after the loan assumption approval.

“Nevada and Las Vegas specifically continue to attract institutional and private capital investments in retail assets. The combination of a premier quality asset in one of the most coveted master plans in Las Vegas and exceptional, long-term, fixed-rate, non-recourse financing permitted an excellent result for buyer and seller and new record pricing in greater Las Vegas for a shadow-anchored grocery asset of this size, on a cap rate basis,” said CBRE Vice Chairman, Philip D. Voorhees.

Fritz added, “Best-of-best assets in Las Vegas, such as Mountain’s Edge Marketplace remain highly favored with private capital, institutional capital, and high-net-worth family offices, valuing safety of capital as well as strong returns over the holding period. In this Mountain’s Edge transaction, returns were amplified by the attractive assumable debt at better-than-market terms (low-4%), expiring in early 2032.”

Voorhees, Fetrow, and Fritz, based in CBRE’s Las Vegas and Newport Beach offices, handle National Retail Investment Partners-West retail investment assignments in the western states, representing the most accomplished retail investors in the U.S. The team’s ability to collaborate across CBRE’s multi-discipline platform enhances its role as strategic advisors to western U.S. clients in the disposition and acquisition of retail properties, ensuring the delivery of superior results in today’s investment market. This team is recognized as industry-leading investment experts, specializing in portfolio sales, anchored centers, strip centers, single-tenant assets, specialty retail projects, REO and Receivership assets, and parcelized disposition strategy opportunities.

About CBRE Group, Inc.

CBRE Group, Inc. (NYSE:CBRE), a Fortune 500 and S&P 500 company headquartered in Dallas, is the world’s largest commercial real estate services and investment firm (based on 2023 revenue). The company has approximately 130,000 employees (excluding Turner & Townsend employees) serving clients in more than 100 countries. CBRE serves a diverse range of clients with an integrated suite of services, including facilities, transaction and project management; property management; investment management; appraisal and valuation; property leasing; strategic consulting; property sales; mortgage services and development services. Please visit our website at www.cbre.com.