This market-dominant, Class A retail center spans approximately 1.3 million square feet in Raleigh, NC.
The purchase price for the property was $290 million.
Macerich expects an initial yield on the acquisition of about 11% based on the estimated 2025 net operating income.
The yield is projected to reach approximately 12.5% when including current leases signed but not yet opened, with rent starting in 2027.
The acquisition was funded with cash on hand and $100 million borrowed on the revolving line of credit.
Jack Hsieh, President and CEO, emphasized the company’s strong traffic, sales, and market-dominant position in a high-growth area.
He also noted the potential to enhance permanent leasing and net operating income, contributing to accretion toward the 2028 target FFO ranges under the Path Forward Plan.
