Vacant Big Box Fits with BH’s Repositioning Strategy

In an off-market transaction, investment firm BH Properties recently acquired a vacant 103,000-square-foot big box anchor building located within the 665,000-square-foot Valle Vista Mall in the Rio Grande Valley city of Harlingen, TX. Built in 1983, the building was formerly occupied as a clearance center for Little Rock-based retailer Dillard’s, which vacated the property at the expiration of its lease just weeks prior to closing.

The one-story building on a 7-acre lot fits well into BH Properties’ strategy of identifying well-located properties that offer good repositioning opportunities, according to Scott Henry, managing director of acquisitions and head of the firm’s Dallas office.

The property is located at 2004 S. Expressway 83 at the interchange with U.S. 69E, two major thoroughfares connecting Harlingen with McAllen, Brownsville, Laredo and Corpus Christi.

“With great visibility, access from Expressway 83 and abundant parking, the 103,000-square-foot box offers us a good lease-up opportunity whether it be retail, office or entertainment uses,” said Henry. “It also complements our current portfolio in the region which includes approximately 700,000 square feet of industrial space in the Rio Grande Valley and Laredo.

BH Properties is considering several options for the property.

“We believe this will be another example of our ability to buy vacancy, rework an asset to meet market demand and bring jobs to the local community,” adds Henry.

BH Properties has engaged CBRE’s Carlos Telles to handle leasing of the property. The seller, a New York-based real estate investment firm, was represented by Daniel Galvan with Coldwell Banker Commercial. BH Properties was represented by Octavio Guajardo with API Real Estate.