Kimco Realty Pays $173M for Stonebridge at Potomac Town Center
The company looks to expand the center with retail and multifamily
By Keith Loria August 25, 2023 2:45 pm
reprints
Kimco Realty has acquired Stonebridge at Potomac Town Center, a 504,000-square-foot grocery-anchored retail and residential complex in Woodbridge, Va., for $172.5 million.
The center was built by Washington, D.C.’s Roadside Development in 2007 and acquired by The JBG Companies in 2015 for $225 million, before it merged with Vornado Realty Trust to become JBG Smith in 2017.
Stonebridge, which was 96 percent occupied at the time of the sale, is anchored by a 138,500-square-foot Wegmans and has a tenant roster that includes Apple, REI, Ulta Beauty, Starbucks, Cava and Firebirds Wood Fired Grill. It also has a 308-unit apartment building.
One appeal of the acquisition was that the center presents a variety of growth prospects, including the potential to develop three outparcel retail buildings, increase density through mixed-use development, and enhance the existing merchandising mix through the recapture of below-market leases, according to a statement.
“We’re excited to add this premiere grocery-anchored center situated in a high barrier to entry location with strong demographics to our dynamic portfolio,” Ross Cooper, Kimco’s president and chief investment officer, said in the statement. “This center boasts a robust growth profile that will complement and solidify Kimco’s position as a leading retail player in the suburban Washington, D.C., market.”
Roughly 230,000 people with an average household income of $125,000 live within five miles of Stonebridge at Potomac Town Center, according to Kimco.
It was unclear who the brokers were in the deal.
Update: This story originally misattributed source material. This has been corrected. We apologize for the error.
Keith Loria can be reached at Kloria@commercialobserver.com
