92k sq ft neighbourhood retail centre

In 2016, Warren Private acquired a 92k sq ft grocery-anchored neighbourhood retail centre in Portland, Maine, USA in conjunction with our US operating partner Crosspoint Associates.

Built in 1958, the property is situated on an 11.7 acre site which also includes 446 surface car parking spaces. The property consists of 11 retail units, eight of which are arranged in a single-storey linear fashion at the rear of the site with the remaining three units being standalone units at the front of the site. It is a long established supermarket location anchored by a c.39k sq ft Shaw’s supermarket. Other tenants include CVS Pharmacy, Dunkin’ Donuts, Advance Auto Parts, Bank of America, TD Bank and a Mercy Hospital primary healthcare centre.

The property is located in Portland, which is the largest city in the state of Maine with 66,000 residents. It is also less than 100 miles north of Boston. The property is an in-fill Site on Congress Street, one of the main streets in the city, at a busy traffic intersection. Whilst it is mainly surrounded by residential housing, it is also close to Portland International Jetport (Maine’s largest airport), Portland Transportation Centre (bus and train depot) and a major national highway (Interstate 295). Portland is a middle class city, and is the dominant economic hub for Maine being the financial services headquarters of the state and containing a large commercial port. The city is also an all year round tourist destination.

Since acquisition, Crosspoint Associates have grown net operating income through re-lettings and effective cost management.

The investment period is 10 years, and projected returns are strong at a pre-tax IRR of c.12% and a pre-tax profit of c.150% of investors’ original investment amount.

Purchase Price: Confidential
Location: Maine, USA
Investment Period: 10 years
Projected Annual Distributions: c.7%
Projected Profit on Investment: c.150%