HFF, on behalf of the owner, is offering qualified investors the opportunity to acquire Poway Crossings, a 109,455-square-foot community shopping center with significant upside prominently located in the San Diego suburb of Poway, California. Anchored by a high-performing LA Fitness, Dollar Tree and Big 5, Poway Crossings offers potential investors income stability with value-add upside via the lease-up of the 18,160-square-foot former Rite Aid space as well as three shop suites.
Situated on 10.10 acres at 12622-12654 Poway Road, the retail center for sale is located in an affluent and densely populated trade area within northeastern San Diego where average household incomes exceed $130,000 with more than 90,000 people within a five-mile radius.
Retail Investment Highlights Include:
- Long-Term Anchor Lease with LA Fitness: A long-term anchor lease in-place with LA Fitness (37 percent of GLA) through October 2025 providing an internet-resistant “daily needs” anchor tenant. LA Fitness has shown commitment to this location as they recently renovated their space. Their high-demand use continues to draw traffic to the center and has led to positive sales growth for the additional tenants at the property.
- Significant Value Enhancement Potential: Currently 79.1 percent leased, compared to the submarket occupancy of approximately 95 percent, the opportunity to reposition the former Rite Aid space (18,160 square feet) provides significant upside and income growth. Additionally, the lease-up of the remaining 4,747 square feet of available shop space further enhances the value-add potential.
- Individually Parceled Pads and Pad Development Opportunity: Poway Crossings is situated on seven tax parcels, adding significant value by providing investors with the ability to sell off parcels separately, lowering their overall cost basis while benefitting from cap rate arbitrage. Additionally, Poway Crossings contains a former restaurant pad on a separate tax parcel. The pad has been razed and allows for development by right, allowing potential investors to capture additional upside.
- Highly Visible Location with Excellent Accessibility: Poway Crossing is located along the main thoroughfare of Poway Road, exposing the center to more than 32,000 vehicles per day via Poway Road and Silver Lake Drive. The property has excellent accessibility via a left turn lane off of Poway Road, heading east, and eight ingress/egress access points throughout the property.