Next Realty has completed the acquisition of a Best Buy net leased retail property in Mishawaka, Ind. (near South Bend) (on behalf of Next Realty Investment Find VII). The purchase price of the property was not disclosed.
The property acquired by Next Realty is located at 6502 Grape Road and totals 50,000 square feet. It is located along the main retail corridor, approximately 2.5 miles from The University of Notre Dame. Further, the property is strategically positioned across the street from the Simon Properties owned University Park Mall, a strong superregional mall that draws visitors from a 65-mile radius.
The Mishawaka submarket is a strong area, with no large retail vacancies. Overall retail vacancy within the Mishawaka submarket is reported at 4.4%.
“This acquisition is a great opportunity to acquire a well-performing retail asset that essentially is located at “Main and Main” in Mishawaka’s primary retail district,” said Eteri Zaslavsky, director of acquisitions for Next Realty.
The building was originally developed for Service Merchandise. It was redeveloped 10 years ago and converted into a Best Buy. The tenant has another ten years of term remaining on its lease. According to Zaslavsky, while Best Buy stores today are approximately one third smaller, the retailer also has adapted a store-within-a-store concept and is leasing smaller spaces in the facility to complementary tenants such as Google, Verizon and Comcast.
