Seritage Sells North Miami Plaza to Miami Heat Part Owner Ranaan Katz

RK Centers' Ranaan Katz, Seritage Growth Properties’ Andrea Olshan, an aerial of 10790 Biscayne Boulevard and 1290 Northeast 108th Street in Miami-Dade County (RK Centers, Getty, Google Maps)

RK Centers’ Ranaan Katz, Seritage Growth Properties’ Andrea Olshan, an aerial of 10790 Biscayne Boulevard and 1290 Northeast 108th Street in Miami-Dade County (RK Centers, Getty, Google Maps)

Seritage Growth Properties is continuing to retreat from its South Florida retail real estate assets.

After the firm’s board recommended this summer that it liquidate its properties, Seritage sold the shopping plaza with a recently renovated Aldi near North Miami.

RK Centers, led by Miami Heat minority owner Ranaan Katz, bought the retail plaza at 10790 Biscayne Boulevard and 1290 Northeast 108th Street from Seritage for $38 million, according to records.

The 128,000-square-foot center was developed in 1969 on 11 acres, property records show. It previously housed a Kmart that was shuttered several years ago.

Tenants at the fully leased property include Burlington, Ross Dress for Less and Michaels.

The deal marks the second retail trade between New York-based Seritage and Sunny Isles Beach-based RK Centers in recent months. In July, Seritage made a $6.2 million profit, or 28 percent, by flipping a Hialeah plaza to RK Centers. Seritage had paid $22.1 million for the property at 1460 West 49th Street and sold it on the same day to RK for $28.3 million.

Seritage, which is publicly traded, spun off from Sears in 2015 and acquired both Sears and Kmart stores as part of the deal. It’s no longer exposed to leases by either store, The Real Deal has reported.

Amid financial woes, Seritage put a 38-property portfolio of mostly multi-tenant retail plazas on the market this summer as part of a push to pay down the balance of a loan from billionaire Warren Buffett’s Berkshire Hathaway. Seritage has until next summer to pay off $640 million to Buffett, reducing the balance of the total loan to $800 million, according to CoStar.

In July, Seritage’s board recommended selling the company’s assets to pay off the $640 million and returning proceeds to shareholders.

As of June, Seritage’s portfolio included 150 properties spanning 19.5 million square feet, according to its website. Andrea Olshan is CEO.

Katz’s RK Centers has been in an expansion mode.

The company, founded by Katz, has 10 million square feet of shopping centers in the Northeast and South Florida, according to its website. The RK affiliate that sold the retail property near North Miami also lists Daniel and David Katz as managers.

In August, RK Centers paid $14 million for the Publix-anchored Hallandale Place Shopping Center at 1400-1484 East Hallandale Beach Boulevard.

In December of last year, RK Centers paid $28.7 million for three Davie shopping centers at 5840 South University Drive, 5780 South University Drive and 5810 South University Drive.

Source link

Sharing Is Caring:

Leave a Comment