Sterling acquires a 173,798 sq. ft. grocery-anchored center, ‘Tedeschi Plaza,’ in Braintree, MA for $44.28 million
Sterling Organization, a vertically integrated private equity real estate investment firm, has announced the acquisition of Tedeschi Plaza, a 174,344-square-foot grocery-anchored shopping center located in Braintree, MA. The property is situated just 12 miles south of downtown Boston and was purchased on behalf of Sterling Organization’s institutional grocery-anchored shopping center core fund, Sterling United Properties II, LP (“SUP II”), for $44.28 million.
The property is anchored by a 66,124-square-foot Stop & Shop grocery store, who is accompanied by strong national tenants such as CVS Pharmacy, Crunch Fitness, Sherwin Williams, Dunkin’ Donuts and Citizens Bank. The center is well-positioned in a densely populated submarket that has over 77,000 people living within a 3-mile radius and an average household income of over $108,000.
“Tedeschi Plaza represents an attractive investment opportunity for our SUP II Fund and we are pleased to add it to the portfolio,” said Brian Kosoy, Managing Principal and CEO of Sterling Organization. “The property is anchored by an extremely high-volume Stop & Shop, the northeast’s dominant grocer, and is located just five miles from Stop & Shop’s Corporate Headquarters. The ongoing stability we have seen throughout the COVID-19 pandemic reinforces our conviction in grocery-anchored shopping centers and the significant downside protection afforded by such. We are confident this property will deliver the same predictable cashflows our investor partners are accustomed to.”
“We would like to thank both Black Creek Group and JLL for their partnership in smoothly executing this transaction,” added Jordan Fried, Senior Managing Director of Investments for Sterling Organization. “We are excited to plant our flag in the Boston MSA and look forward to expanding our footprint in one of the country’s premier markets.” Tedeschi Plaza marks Sterling Organization’s first asset in Massachusetts and the ninth in their SUP II Fund, increasing the Fund’s portfolio to approximately 1.1 million square feet of GLA. From coast to coast, the West Palm Beach, FL-based firm, and its principals own more than 11.3 million square feet of LAST HOUR® consumer fulfillment and distribution real estate assets exceeding $2.0 billion in value.
In 2020, Sterling Organization partnered with the National Forest Foundation (“NFF”) making a commitment to better the environment for future generations. The partnership states that for every acre of land acquired by Sterling Organization upon which its shopping centers sit, Sterling will donate the funds to execute the reforestation of the matching number of acres in our national forests. Sterling’s acquisition of Tedeschi Plaza will enable the NFF to plant 5,628 trees on 18.76 acres of land in the upcoming year of 2022.