Benderson Buys Retail Center in Southwest Florida

September 27, 2024

Situated on the Gulf Coast, the property commanded $40 million.

Aerial view of Cypress Trace shopping center in Fort Myers. — The grocery-anchored Cypress Trace shopping center dates back to 1986. *Image courtesy of Benderson Development*

Benderson Development has acquired Cypress Trace, a 280,000-square-foot grocery-anchored shopping center in Fort Myers, Fla.

The price was not disclosed, nor was the seller, but information provided by CommercialEdge states that the previous owner was SITE Centers and that the property sold for $40.4 million.

Located at U.S. 41 and Daniels Parkway, Cypress Trace occupies more than 29 acres and has a tenant mix that includes Bealls Florida, Winn-Dixie, Five Below, Burlington and Ross Dress for Less.

Completed in 1986, Cypress Trace adds to Benderson’s substantial portfolio of Florida retail properties. The company already owns several such assets in Fort Myers, including Cypress Woods, Colonial Square and Shops at Village Walk. These three adjacent sites form a major retail hub along Six Mile Cypress Parkway near the Colonial Boulevard intersection.

Benderson has made other recent acquisitions across Florida, including Carillon Place, a 250,000-square-foot open-air shopping center in Naples; North River Marketplace, a 51-acre development site in Venice; Glengary Shoppes in Sarasota; Linton Commons in Delray Beach and Bee Ridge Square, a 128,400-square-foot retail center in Sarasota.

Steady situation

Although retail vacancies in South Florida increased year-over-year from 2.9 percent to 3.1 percent in the second quarter of 2024, so too have average asking rents, edging up from $36.26 per square foot triple-net to $36.92, Lee & Associates reported in July.

The 3.1 percent retail availability compares favorably with the five-year average of 4.3 percent, Lee & Associates South Florida Principal Stephen DeMeo stated in the report. Interest from major brands has driven leasing activity at a variety of retail properties, including power centers, strip centers and grocery-anchored neighborhood retail centers.

“New supply has not improved space availability, with over 1.8 million square feet of retail space delivered since 2023 already 95 percent leased,” DeMeo wrote. “Space availability is unlikely to improve significantly, and near-term forecast expectations are for historically tight vacancy rates around 3-4 percent.”