Miami-based firm uses 1031 exchange to buy strip mall in busy Altamonte corridor
By Mike Salinero
Feb 21, 2017 at 6:08 PM
Miami-based TCII Capital Group added to its Greater Orlando portfolio last week with a $2.325 million acquisition of a strip mall in Altamonte Springs' busy S.R. 434 corridor.
The full-service real estate firm bought two multi-tenant buildings just north of Sand Lake Road and next to Lake Brantley High School, according to a deed signed Feb. 14 and recorded Friday in Seminole County. The center is 80 percent leased, and tenants include Verizon Wireless and Play It Again Sports.
The acquisition helped fulfill a 1031 exchange, in which TCII used cash from its previous sale of the Shoppes at Lee Road in Orlando. The firm still has proceeds remaining from that sale that it will use to buy more properties in the Orlando metro area, vice president Jason Glaser told GrowthSpotter.
"We are definitely shopping for more," he said on Tuesday.
The seller was Maitland-based Equinox Development Properties. Equinox turned a 24.7 percent profit on the sale, having paid $1.75 million for the property in July 2014.
"We're always acquiring new assets," said Trey Vick, president of Equinox. "We had a couple of deals that were opportunistic so it just made sense to sell that and move into something new."
TCII now owns four properties in the Greater Orlando area. The others are West Colonial Oaks on Colonial Drive and Kirkman Oaks Shopping Center on South Kirkman Road, both in Orlando; and Silver Crossing Shopping Center on North Clark Road in Ocoee.
Glaser said TCII looks primarily for multi-tenant retail, income-producing strip centers that are well-positioned in the market. The company does its own management and leasing.
The Altamonte Springs center consists of two buildings, one built in 2001 and the other in 2005, totaling 10,590 square feet. One unit remains vacant with 1,278 square feet for lease.
Glazer said TCII was attracted to the property due to "strong demographics, good traffic flow, access to the highway and good tenants." Plus, the company had done previous deals with Equinox that worked out well.
"It was an off-market opportunity to acquire something from a company we had done business with," Glaser said. "It's just a clean deal."
Have a tip about Central Florida development? Contact me at email@example.com. Follow GrowthSpotter on Facebook, Twitter and LinkedIn.