Applebee’s and Petco are anchor tenants in Alton Corners Shopping Center, 303-319 Homer Adams Parkway.
Tabani Group Inc., a Dallas-based commercial real estate firm, has acquired an Alton, Illinois, shopping center for $7.4 million.
Midland Loan Services – Real Estate Solutions Group, an entity of PNC, was the seller of the 68,071-square-foot plaza, called Alton Corners Shopping Center. Denver-based Jules Sherwood of HFF represented Midland.
The plaza, located at 303-319 Homer Adams Parkway, is nearly 90 percent leased, with tenants including Petco and Applebee’s. The property has an appraised value of $1.4 million, according to Madison County records.
Tabani financed the deal, which closed in November, in-part with a $5.92 million mortgage loan provided by Wells Fargo Bank, according to a CoStar Group report.
Tabani facilitated the deal through a 1031 exchange. A 1031 exchange is an IRS-authorized deal that allows property owners to defer tax liability on the sale of an investment property if another of equal or greater value is acquired.
The Metro East retail market, according to Newmark Grubb Zimmer research, has a 9.4 percent vacancy rate in the retail sector. Rental rates in the submarket average around $10.15 per square foot.
Those figures trail the St. Louis metro averages of 6 percent vacancy rate and $11.92 per square foot rental rates.
