Shopoff Realty Investments has acquired an 11.9-acre parcel of Westminster Mall, in Westminster, California, which included an operating department store. The $49 million purchase was a sale, with a lease back to the seller. Shopoff previously purchased a 14.1-acre parcel of Westminster Mall, including a now-vacant former Sears store, in July 2022. The property was purchased for $46.3 million from Seritage Growth Properties.
“This purchase provides a very unique opportunity for our firm, as we now own a 26-acre piece of real estate in coastal Orange County, a significantly high-barrier-to-entry market,” said Shopoff President and CEO William Shopoff. “Under the lease-back agreement, Macy’s will continue to operate its existing retail location in the space, and we will continue to work with the City of Westminster on the redevelopment of this property.”
The Westminster Mall houses approximately 1.3 million square feet of retail on approximately 90 acres, anchored by Target, JCPenney and Macy’s.
Mavik Capital Management, an opportunistic investment firm, provided $20 million in strategic financing in connection with the acquisition as well as Shopoff’s earlier acquisition of the former Sears store. Hankey Capital, a bridge lender based in Los Angeles, provided senior financing for the initial acquisition for the planned redevelopment of this portion of the Westminster Mall. Mark Strauss and Rob Quarton with Walker & Dunlop’s Irvine office procured the senior debt on behalf of the sponsorship. Lee Aarons with Land Advisors Organization’s Century City office represented Shopoff Realty Investments in the acquisition of the property.
