Malachite Group LTD paid $2.75 million this week to acquire the Washington Shores retail plaza in the west Orlando neighborhood.
The 45,370-square-foot shopping center at 2100 Bruton Blvd. is anchored by Save-A-Lot and Family Dollar. It was built in 1988 and was previously acquired by The Sembler Co. in 2011 for $1.8 million.
The predominantly African-American Washington Shores neighborhood was considered a food desert for most of its 60-plus years, and lost its only grocery store, Premier Foods, after a five-year run in 2002.
Sembler helped attract Save-A-Lot to the vacant space in 2012, thanks to an equity investment of $1.5 million from Atlantic American Opportunities Fund.
Headed by Manny Malekan, Malachite owns more than 4 million square feet of neighborhood and community shopping centers, including three others in Florida. The privately held company is based in New York and maintains offices in Tennessee and Texas.
The company looks to acquire retail properties in premier markets with the potential for significant increase in cash flow and residual value.
Michael Haugh, CEO of self-storage operator Absolute Storage Management in Cordova, Tennessee, is also listed as an authorized member of the Malachite affiliate that bought the shopping center.
Leasing agent Julia Sosa, principal of LandQwest Commercial's Orlando Office, told GrowthSpotter the new owners have no intention of redeveloping the site for a self-storage facility. They see it as a long-term investment, she said.
New York Community Bank provided $1.79 million in financing to Malachite.