The MacNaughton Group entrusted Colliers to sell this shopping center; one of the newer retail and office centers in Kapolei. The shopping center had 100 percent occupancy as well as having a Drive-Thru Starbucks, a Jamba Juice, and a Sprint as its anchor tenants. Buyers prefer a single level complex and sometimes feel the second floor is tougher to lease and keep full. Our team was able to manage those expectations of the buyers by knowing the demands for this type of space within Kapolei. There was a strong interest from local and mainland buyers; the majority of serious potential bidders were engaged in a 1031 Tax Deferred Exchange. These buyers were scouring the state and California for high quality properties. With a strong lineup of retail tenants including Starbucks, Jamba Juice, and Taco Del Mar, Colliers was able to attract a lot of attention and focus on to this asset. Luckily our team knew the demands for this type of space in Kapolei and the result was a completed sale at under a 6% cap rate for our client, The MacNaughton Group. The MacNaughton Group is still bullish on Kapolei with their Kapolei Commons project and they intend to redeploy the capital into some of the real estate development in Honolulu: in and around the Ala Moana Shopping Center.
