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Raanan Katz’s firm bags grocery-anchored Fort Lauderdale shopping center for $38M
RK Centers acquired 1600 Commons, anchored by Trader Joe’s and Nordstrom Rack
Raanan Katz’s RK Centers paid $38 million for a Fort Lauderdale shopping center, buying 1600 Commons for $11 million less than the previous sale price six years ago.
An affiliate of Sunny Isles Beach-based RK acquired the 65,338-shopping center completed in 2016, records and Vizzda show. The deal breaks down to $589 per square foot.
The seller, an affiliate of Newark, New Jersey-based PGIM Real Estate, paid $49.2 million for the 6.1-acre property at 1550 North Federal Highway in 2017, records show.
1600 Commons is anchored by Trader Joe’s and Nordstrom Rack, and the tenant mix also includes Anthony’s Coal Fired Pizza, Hair Cuttery, Mattress Firm, Xfinity and T-Mobile, according to a Loopnet listing. The shopping center is mostly occupied, except for a 1,500-square-foot space available for lease.
PGIM, the real estate investment arm of Prudential, has been shedding South Florida commercial properties in recent months. In July, the firm sold Gardens East, a 448-unit apartment complex in Palm Beach Gardens, for $92.1 million. An affiliate of Charleston, South Carolina-based Greystar bought the multifamily property.
The previous month, PGIM sold a pair of 12-story apartment buildings in Plantation for $88.4 million. Chicago-based Waterton purchased the 321-unit complex called One Plantation. And in March, PGIM sold a pair of Publix-anchored shopping centers in Miramar and Jensen Beach for a combined $32 million. The buyer was Cincinnati, Ohio-based Phillips Edison & Company.
Katz, who is a minority owner of the Miami Heat NBA franchise, has been acquiring South Florida commercial properties, primarily shopping plazas and retail centers, since 1984, according to RK Centers’ website.
Last year, RK affiliates acquired shopping centers in Hallandale Beach, Hialeah and North Miami. The firm paid $38 million for a fully leased big box retail plaza that includes Aldi, Ross, Burlington and Michaels in North Miami. In Hialeah, RK paid $22.1 million for Westland Gateway Plaza, a shopping center anchored by Aldi. Sears spinoff Seritage Growth Properties sold the properties in North Miami and Hialeah to RK.
In Hallandale Beach, RK dropped $14 million for Hallandale Place Shopping Center, a Publix-anchored retail property.