Houston-Area Value-Add Retail Center Draws Multiple Buyers

NewQuest Properties believes value-add retail centers are the rage. As a testament to that they just unloaded the 130,525 SF Tradewinds Shopping Center in Texas City in a trade between a local buyer and seller. Three qualified buyers were vying for the Tradewinds Shopping Center, which has 81,000 sf of available space. NewQuests David Luther, represented the seller, WFP Tradewinds LP. NewQuests Dakota Workman, sourced the buyer, 2020 Harwin 59 Shopping Center Ltd.

The retail center, which was 60% vacant at sale time, is situated on 11.5 acres less than four miles from the Port of Texas City. The property is adjacent to the Charles Doyle Convention Center. 

“Value-add centers are particularly attractive right now,” Luther says, “because buyers are able to offset interest rates by increasing net operating income. As a result, they are willing to get aggressive for assets, like Tradewinds, that are priced below replacement costs.”