By Anca Gagiuc, Associate Editor
The former Mervyn’s building at Ridgecrest Town Center in the city of Ridgecrest is under new ownership. The retail asset was acquired from China Lake 700, LLC by Newport Coast-based investor El Rey Properties, LLC.
The single-story community center was built in 1987 and encompasses 204,709 square feet of space. It is located at the corner of N. China Lake Blvd. & Drummond Ave. and offers open air shopping with about 32 stores that are currently leased by Big Lots, Big 5, Starter Brothers, Goodwill, Kragen Auto, and Starbucks.
El Rey Properties acquired the 59,909-square-foot asset for $5.8 million, which breaks down to well over $97 per square foot. Senior Vice President Steve Heri and Vice President Steve Gim of NAI Capital represented the buyer in the transaction.
At the time of the sale, the asset was 100% leased to Jo-Ann Fabrics & Crafts, Marshals, and DSS shoes. “This property presented El Rey Properties with the opportunity to buy into the dominant grocery anchored center in Ridgecrest with a high yield potential,” said Heri in an official statement. “With a rebound in consumer spending under way, this investment provides great upside potential for long term appreciation and cash flow,” Gim added .