Roxborough Group in $130M Deal Acquires Cupertino Shopping Mall With Hotel
The Roxborough Group has snagged a Cupertino, California, retail complex for $130 million. The purchase was made by an affiliate of the investment firm, which also snagged a $91.4 million loan under the deal, according to The Real Deal, citing a report from Mercury News.
Equitable Life Insurance Company of America provided the financing to support the acquisition of the property, Main Street Cupertino.
The purchase price represents a 4 percent premium to what the site at 19379 Stevens Creek Boulevard and 19540 Vallco Parkway was valued in January, per The Real Deal. Real estate executive and entrepreneur Peter Pau was the seller.
The asset is near Apple's corporate headquarters in the city, which sits on 175 acres of land and features over 12,000 employees.
Some brands that operate at Main Street Cupertino include Philz Coffee, Alexander's Steakhouse, Charles Schwab, AT&T, Orangetheory Fitness, as well as other restaurants and shops. Plus, the 131,000-square-foot shopping mall also features hotel, apartment and office space. The hospitality offering is a Residence Inn Marriott.
Notably, availability is tightening across retail in Silicon Valley. A second-quarter report from Kidder Mathews, citing CoStar data, revealed that the market enjoyed an 110-basis-point drop in vacancy, bringing the rate down to 3 percent. Also, second-quarter retail rents were going for $3.14 per square foot, up 3.09 percent year-over-year.
Source: GlobeSt/ALM