Unibail-Rodamco-Westfield sells Long Island mall for $29.7M

Urban Edge REIT picked up Sunrise Mall in Massapequa

Tri-State /
Jan.January 04, 2021 01:00 PM
Photo Illustration of Urban Edge CEO Jeff Olson and Sunrise Mall in Massapequa, NY. (Getty, Urban Edge)

Photo Illustration of Urban Edge CEO Jeff Olson and Sunrise Mall in Massapequa, NY. (Getty, Urban Edge)

 

A 1.2 million-square-foot mall in Massapequa, New York, is under new ownership.

Retail REIT Urban Edge Properties announced that it’s acquired Sunrise Mall in Nassau County from Unibail-Rodamco-Westfield for $29.7 million, plus as much as $6 million of additional contingent consideration.

The mall is spread out over 77 acres, with anchor tenants that include Macy’s, Sears and Dick’s Sporting Goods. It’s currently just 65 percent occupied.

“Sunrise Mall is a unique asset with a prime location in a dense, attractive region along the southern shore of Long Island,” said Jeff Olson, Chief Executive Officer of Urban Edge. “This acquisition provides a terrific opportunity for Urban Edge to leverage our redevelopment expertise in repurposing underutilized land and creating value.”

In October, Newsday reported that Urban Edge was in talks with Unibail to acquire the Massapequa mall. The shopping center’s problems predate the pandemic; since 2015, it’s lost several large tenants, including JC Penney and Wal-Mart. Oyster Bay Supervisor Joseph S. Saladino told the publication in October that elected officials were interested in seeing the property be redeveloped to function as a community hub, or to bring new jobs to the town.

“We’d like to see this site flourish as a new economic hub to ensure that revenue derived by the school district is never shifted to the residential taxpayers,” Saladino told Newsday.

Urban Edge’s properties include several shopping centers on Long Island, such as Huntington Commons, Burnside Commons and Meadowbrook Commons. Earlier in 2020, it also acquired a large mixed-use shopping center in southern Brooklyn.

The seller, URW, has faced some issues this year as the pandemic has forced malls to shut down. The retail landlord and investor reported that rental income from U.S. operations fell to $464 million in the third quarter, a 39 percent decrease year-over-year. It also reported that it’s operating at a $6.3 billion net loss.






    Related Articles

    arrow_forward_ios
    (Google Maps, iStock)
    Gas station proposed for Riverhead roundabout faces opposition
    Gas station proposed for Riverhead roundabout faces opposition
    From left: Erica Grossman, Michaela Keszler, Maggie Keats, Margaret Harrington and Maria Babaev (Photos courtesy Douglas Elliman)
    Douglas Elliman honors tristate brokers after a chaotic year
    Douglas Elliman honors tristate brokers after a chaotic year
    Mack-Cali Realty CEO Mahbod Nia and MaryAnne Gilmartin (Photos via Mack-Cali Realty)
    Mack-Cali Realty names Mahbod Nia as CEO
    Mack-Cali Realty names Mahbod Nia as CEO
    Stonington is one of the areas that DesegregateCT would like to rezone. (Getty)
    Connecticut reformers turn up heat on housing segregationists
    Connecticut reformers turn up heat on housing segregationists
    (iStock, Wikipedia Commons)
    Nassau County homeowners shocked by new tax bills
    Nassau County homeowners shocked by new tax bills
    Photos from the 60s of John Steinbeck and his poodle Charley on their property. (Getty)
    Sag Harbor pessimistic on preserving Steinbeck retreat
    Sag Harbor pessimistic on preserving Steinbeck retreat
    Amazon's Jeff Bezos with 1770 Walt Whitman Road (Getty, Google Maps)
    Amazon plans Melville fulfillment center as it expands across LI
    Amazon plans Melville fulfillment center as it expands across LI
    A rendering of the facility at 1029 Newark Avenue in Elizabeth, Fidelco chairman Marc Berson and Elberon Development Group chairman Ann Evans Estabrook (Photos via JLL, Fidelco and Elberon)
    Cold storage facility in New Jersey gets $34M loan
    Cold storage facility in New Jersey gets $34M loan
    arrow_forward_ios

    The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

    Loading...