JH Real Estate Snags Inland Empire Retail for $65M

Palm Grove Shopping Center Sold to JH Real Estate for $254.90psf

Newport Beach, CA-based JH Real Estate Partners recently acquired a 255,000-square-foot shopping center in Redlands, CA from Land House Development Co., also of Redlands. Located at the convergence of Lugonia Ave and Alabama St in Redlands, the center sold for $65 million, or approximately $254.90 per square foot. The transaction was financed by a $45 million loan from Wachovia Bank.

Located on 20 acres, the center is 100% leased to tenants including J.C. Penney, a combo Toys 'R Us/Babies 'R Us store, Men's Wearhouse, Chili's restaurant, and more. The project is located directly across from the entrance to Citrus Plaza, which is anchored by Target. House Land has office and hotel space in the works behind Palm Grove.

Typically a multifamily investor, JH has acquired two other retail centers since deciding to branch out into retail investment in 2007. In April 2008, It acquired Porter Ranch Shopping Center, a 55,418-square-foot neighborhood center anchored by Whole Foods Market in Porter Ranch, CA, for $26.15 million, or $471.87 per square foot. And in April 2007, it acquired Brea Imperial Center, a 44,883-square-foot strip center located in Brea, CA with no significant anchor tenant, for $18.5 million, or $412.18 per square foot.