Allen Sigmon Real Estate Group has acquired the 4th and Menaul Marketplace shopping center.
More than 100,000 square feet of mixed-use space has traded hands.
Allen Sigmon Real Estate Group acquired the 4th & Menaul Marketplace just off Interstate 40 at 300 Menaul Blvd. NW. The former Kmart site totals 106,000 square feet on more than nine acres. Today, retail and warehouse users operate at the shopping center, including Dollar Tree, a UPS Store, H&R Block and others.
“We wanted to acquire this asset because of its high visibility and profile,” said Lance Sigmon, co-owner and principal of Allen Sigmon, in a statement. “It has great exposure and accessibility off of Interstate 40 and 4th Street. It’s also seen by more than 136,000 vehicles per day from I-40. That, coupled with its unique retail and industrial businesses, make this something rare for the area that we look forward to adding to our portfolio.”
The development has about 7,000 square feet vacant spread across four spaces. Because of the ceiling height, Brad Allen, co-owner and principal of Allen Sigmon, said warehouses with a retail front could make sense for a few of the center’s vacancies. He added there could be other expansion possibilities onsite like a quick-service restaurant.
Allen Sigmon will handle property management and leasing in-house. Ben Nolte will be the listing broker moving forward.
Allen said his team worked with SVN/Walt Arnold Commercial Brokerage Inc.’s Paul Cook who represented the ownership group as listing broker. Allen Sigmon also worked with Wells Fargo, Fidelity National Title and Jodie Stone — the former property manager, Allen said.
Cook said he got the listing more than three years ago. Over that time, he said the occupancy increased from 61% to over 90%, which was a goal the ownership group wanted to reach before selling. The property is partially zoned for industrial use and partially zoned for retail use, essentially split down the middle, Cook said.
Allen said talks started around August before announcing the acquisition in early January. The firm declined to disclose the purchase price.
“We love the office-warehouse property. There always seems to be a need for those types of spaces. And right now, it’s never been tighter,” he said. “The barrier right now is the cost of construction. If I had to replace this building today, it would be significantly higher.
“When you can acquire assets below replacement value, I think that makes it appealing. Even if new [buildings] are brought on, the rental rate has to be much higher to justify construction costs.”
Originally reported on ABQ Biz First:
Allen Sigmon Real Estate Group is a full-service commercial real estate company based in Albuquerque with an expertise in acquisitions, brokerage, development, and property management. As a local company, we pride ourselves in our knowledge of the New Mexico commercial market and the relationships we are able to foster compared to larger national firms. Our office works with every kind of commercial property; including office, industrial, retail, land, and multifamily.
Our understanding of client needs and concerns not only comes from our experience as an office but also as owners and investors of commercial property ourselves. We have an excellent team in place that is eager to work on your behalf; our results speak for themselves.