Kimco Realty Sells 2 Savannah Retail Assets for $63M

Chatham Plaza. Image courtesy of JLL Capital Markets

JBL Asset Management has paid $63 million for two retail properties, totaling 384,119 square feet, in Savannah, Ga. JLL Capital Markets brokered the deal on behalf of the seller, identified by CommercialEdge as Kimco Realty.

The 186,514-square-foot Savannah Centre came online in 1986 at 7400 Abercorn St., adjacent to a Burlington store. The retail center was 81 percent at the time of sale, housing tenants such as TJ Maxx, Bed Bath & Beyond, Shoe Carnival, JoAnn, Five Below, Rack Room Shoes and Chicken Salad Chick.

The neighboring Chatham Plaza was constructed in 1972 and revamped in 2001. The 197,605-square-foot shopping center, located at 7801-7825 Abercorn St., was 93 percent occupied at the time of closing. Tenants include Ross Dress for Less, Ashley HomeStore, Pet Supermarket, Dollar Tree, Sketchers, Chili’s, Longhorn Steakhouse and Starbucks Coffee.

Two well-positioned retail assets

Both shopping centers are situated in a dominant retail area, benefiting from Savannah’s growing tourist industry. Furthermore, the properties are close to major economic drivers such as Hunter Army Airfield and Savannah Medical Arts District. Both assets serve a population of 64,291 within a 3-miles radius, having an average household income of $72,202.

Senior Managing Director Jim Hamilton, Managing Director Brad Buchanan, along with Associates Andrew Kahn and Andrew Michols, led the JLL Retail Investment Advisory team representing the seller.

According to a recent Cushman & Wakefield report, the fourth quarter of 2022 saw continued growth in the retail real estate sector, with strong demand driving shopping center vacancies to record-low levels. At the end of the previous year, the national vacancy rate clocked in at 5.7 percent, marking a 20-basis-point improvement over the quarter.