Bridge Group Investments and Steerpoint Capital announced that they have closed on an acquisition of the Antelope Valley Mall in Palmdale, California at a purchase price of $60 million.
Located near some of the region’s largest employers, the enclosed shopping mall is anchored by Dillard’s, Macy’s, and JCPenney. The firms plan to re-tenant the mall’s vacant Mervyn’s big-box store and add new amenities, including elevated dining options, experiential entertainment offerings and a reimagined food court.
The Antelope Valley Mall is the second property acquired by Bridge Group Investments and affiliates with support by Steerpoint Capital. In April, the firms acquired The Shops at Montebello, a super-regional shopping center in Montebello, California. The acquisitions are part of Steerpoint Capital’s strategy to build a high-yield retail portfolio with significant, risk-adjusted returns.
“Having grown our family business from a single brick and mortar store to over 170 retail locations across the country, we know what works and have confidence in Steerpoint Capital’s investment strategy,” said George Mersho, managing principal of Bridge Investment Group, founded by the Mersho family in 2004. “This is a unique time in the lifecycle of commercial real estate, particularly retail, and with the right approach, there is an opportunity to transform obsolete properties while generating strong financial returns.”
Steerpoint Capital is a Black-owned investment management firm led by Managing Partner Bo Okoroji, who previously served as the head of U.S. Investments at Unibail-Rodamco-Westfield (URW) and held various senior roles at Simon Property Group. Over the course of his career, Okoroji has participated in over $11 billion in commercial real estate transactions. He currently serves as an advisory board member for CREUnited, an alliance convened by Walker & Dunlop, focused on increasing assets under management by minorities.
The firm’s current strategy is focused on adaptive reuse conversions and retail repositioning opportunities. By focusing on conversion arbitrage in the hotel, office and retail sectors, Steerpoint seeks to capitalize on pandemic-induced dislocation while mitigating rising construction costs.
