Playing small mall: New firm picks up shopping center in Costa Mesa
Large malls owners are scrambling to find buyers amid flagging sales, but investors remain bullish on smaller retail centers
An investment firm co-founded by a former HFF broker is beefing up its portfolio of retail properties, and it’s starting with shopping centers.
Irvine-based Space Investment Partners paid $18.4 million to acquire a fully-leased Westport Plaza & Square shopping center in Costa Mesa, the firm said Wednesday.
Wohl Investment Co. was the seller. The firm had owned the 39,000-square-foot complex for more than two decades.
Mark Moshayedi, founder of MSM Global Ventures, and former HFF broker Ryan Gallagher teamed up to create Space Investment last year. The firm specializes in developing and managing multifamily, office and retail property in the $15 million to $200 million range.
Though large owners of shopping malls have been trying to redevelop and repurpose their struggling properties, smaller shopping centers in the Los Angeles area have been in demand over the last year.
Westport Plaza, at 369 East 17th Street, includes tenants Etoile, Plums Cafe and Catering, Shunka Sushi and others. The 45-year-old complex was renovated last year.
Philip Voorhees, Jimmy Slusher and Sean Heitzler of CBRE represented the seller.