Do Van Tron buys chunk of East San Jose center for $21.3M
CVS-anchored property in Mt. Pleasant holds potential for development as leases expire
Real estate investor Do Van Tron has bought an 87,700-square-foot shopping center in East San Jose for $21.3 million.
Intelli, an affiliate of the San Jose-based Tron, purchased a portion of the Mt. Pleasant Shopping Center at 3000 Story Road, the San Jose Mercury News reported. The seller was an investor group led by Cane Companies, based in the city.
The price comes out to $243 per square foot. Intelli obtained a $14.4 million loan from CTBC Bank at the time of purchase.
The L-shaped shopping center at Story and White roads includes a 44,900-square-foot FoodMaxx, owned by an affiliate of Save Mart Supermarkets, that wasn’t part of the deal.
What Tron bought was a separate building anchored by a 22,400-square-foot CVS drugstore. The building also houses such tenants as San Jose Blue Jeans and a Fitness 19 club.
Brokers John Machado, John Kovaleski, Alex Kovaleski and Hilary Machado Monroe of Colliers marketed Mt. Pleasant Shopping Center. Most of the tenant leases expire in the next two to three years, according to a brochure, with a large parking lot suitable for redevelopment.
“This was a very good deal for Tron,” David Taxin, a partner with Meacham/Oppenheimer, a commercial real estate firm, told the Mercury News. “He has an innate ability to seek out a good deal.”
Tron has been on a real estate buying roll in the South Bay.
In September, he led a group that paid $6.4 million for the 26-room Palm Tree Inn Motel at 2724 Monterey Road. The defunct motel on 2.4 acres in southeast San Jose is ripe for redevelopment.
Earlier that month, his affiliated real estate investment firm paid $24.8 million for the old Sears store tied to the Eastridge Center shopping mall at 2180 Eastridge Loop in East San Jose.
The deal for the 260,100-square-foot site included the old department store, auto service center and a large parking lot, which Tron aims to redevelop it into a bustling Hello Ben Thanh Indoor Market and Food Hall, modeled on century-old indoor markets in Vietnam.
— Dana Bartholomew