Strategic Location Solidifies Market Presence in North Scottsdale
HOUSTON--(BUSINESS WIRE)--
Whitestone REIT (NYSE-AMEX: WSR – “Whitestone”), a fully
integrated real estate company that owns, operates and re-develops
Community Centered PropertiesTM, which are visibly located
properties in established or developing culturally diverse
neighborhoods, announced today that it has closed on the purchase of The
Shops at Pinnacle Peak, a 41,530 square foot 76% leased Class A
Community Center in North Scottsdale, for $6.4 million, or $154 per
square foot. The purchase price is a 32% discount to estimated
replacement cost.
Whitestone REIT (NYSE-AMEX:WSR) Acquired The Shops at Pinnacle Peak for $6.4 Million - Strategic Location Solidifies Market Presence in North Scottsdale. The 41,530 square foot Class A Community Center is strategically located midway between two other North Scottsdale Centers owned by Whitestone that are also located on Pinnacle Peak Road: The Pinnacle of Scottsdale and The Citadel. www.whitestonereit.com (Photo: Business Wire)
“The Shops at Pinnacle Peak is strategically positioned in the
marketplace on Pinnacle Peak Road, midway between our Pinnacle of
Scottsdale (at Scottsdale Road) and The Citadel (at Pima Road). We now
own a relatively large share of smaller service-based tenant space –
over 183,000 square feet within this two-mile stretch – in the affluent
North Scottsdale submarket. We have an immediate transformation plan for
The Shops at Pinnacle Peak to add value with complementary neighborhood
enhancements to the common area that welcome and serve the local
community,” said James C. Mastandrea, Whitestone’s Chairman and Chief
Executive Officer. “Phoenix and the North Scottsdale market remain a
long-term growth market with early signs of strong recovery, adding
population especially in the 35-55 ‘up and coming’ age range and ranking
third in growth behind Dallas and Houston, two of Whitestone’s other
markets. Whitestone continues to seek Community Center acquisition
opportunities in the Phoenix metro area and also is working with sellers
who may benefit from a tax efficient transaction in which operating
partnership units are exchanged.”
Whitestone now owns six Community Centers within the significant “four
corners” of the North Scottsdale trade area, including The Shops at
Pinnacle Peak. The other Centers are Terravita (northwest), Pima Norte
(northeast in the Cave Creek area), The Citadel (southeast), and
Pinnacle of Scottsdale (southwest), in addition to Desert Canyon,
located in the McDowell Mountain area. All purchases were priced at a
discount to current replacement cost and have a value-add component.
Each of these Community Centers are located at high traffic
intersections in stabilized neighborhoods, and provide essential
services to support local communities including Terravita, McDowell
Mountain Ranch, Grayhawk, DC Ranch, Silverleaf, Estancia, Desert
Highlands, and Troon North Villages. Whitestone also owns three other
Community Centers in the greater Phoenix market: Ahwatukee Plaza,
MarketPlace at Central, and Gilbert Tuscany Village.
About The Shops at Pinnacle Peak
The Shops at Pinnacle Peak is located on the southeast corner of the
intersection of Pinnacle Peak Road at Miller Road, with a traffic count
of over 29,000 cars per day. A new luxury multi-family housing
development is planned to be constructed on the land just west at
Silverstone.1 The tenant mix at The Shops at Pinnacle Peak is
typical of Whitestone’s Driving Traffic/Driving ValueTM
Community Center tenant combination, and includes several privately
owned restaurants, medical/health care service providers, an educational
provider, and a variety of other convenience service providers.
About Whitestone REIT
Whitestone REIT (NYSE-AMEX: WSR) is a fully integrated real estate
company that owns, operates and re-develops Community Centered PropertiesTM,
which are visibly located properties in established or developing
culturally diverse neighborhoods. Whitestone focuses on value-creation
in its Centers, as it markets, leases and manages its Centers to match
tenants with the shared needs of surrounding neighborhoods. Operations
are structured for providing cost-effective service to local
service-oriented smaller space tenants (less than 3,000 square feet).
Whitestone has a diversified tenant base concentrated on service
offerings including medical, education, and casual dining. The largest
of its over 950 tenants comprises less than 1.5% of its rental revenues.
Headquartered in Houston, Texas and founded in 1998, the Company is
internally managed with a portfolio of commercial properties in Texas,
Arizona, and Illinois. For additional information about the Company,
please visit www.whitestonereit.com.
The Investor Relations section of the Company's website has links to
Whitestone’s filings with the Securities and Exchange Commission, news
releases, financial reports and investor newsletters.
Whitestone REIT Acquisitions:Whitestone REIT purchases Community Centered Properties and has worked
with banks and financially distressed commercial property owners with
pending loan maturities, as well as their tax advisors, estate planners
and lenders to close over $75 million in Community Centered Properties
in the past 12 months.
Forward-Looking Statements
Statements included herein that state Whitestone’s or management's
intentions, hopes, beliefs, expectations or predictions of the future
are "forward-looking" statements within the meaning of the Private
Securities Litigation Reform Act of 1995, which by their nature, involve
known and unknown risks and uncertainties. Whitestone’s actual results,
performance or achievements could differ materially from those expressed
or implied by these statements. Reference is made to Whitestone’s
regulatory filings with the Securities and Exchange Commission for
information or factors that may impact Whitestone’s performance.
1 Source: “Project May Ease N. Scottsdale Rental Void,” azcentral.com,
July 28, 2011; “Old Rawhide Site in Scottsdale Might Become New
Apartments,” mortgageandrealestatenews.blogspot.com,
The Arizona RepublicPeter CorbettJuly 22, 2011.
Photos/Multimedia Gallery Available: http://www.businesswire.com/cgi-bin/mmg.cgi?eid=50293099&lang=en
Whitestone REIT
Anne Gregory, (713) 435-2221
Vice
President Marketing & Investor Relations
ir@whitestonereit.com
or
Acquisitions:
Bradford
Johnson, (713) 435-2208
Director of Acquisitions
bjohnson@whitestonereit.com
Source: Whitestone REIT