Goldman Sachs buys South Towne Center for $250m
Goldman Sachs has agreed to acquire the nine-building mall South Towne Center in Sandy, Utah, for approximately $250 million, or $227 per square foot. The seller was The Macerich Co.
The property, built in 1986, contains 1.1 million square feet with 150 stores and restaurants. It is 89 percent occupied. Major tenants include JCPenney, Macy’s Forever 21, Dillard’s and Target.
The city of Sandy is a suburb of Salt Lake City. According to Real Capital Analytics, Salt Lake City’s retail market is not a high-volume activity market. For example, sales completed during first quarter 2014 totaled $86 million, marking the highest quarterly transaction volume in the past three years. Sales dropped dramatically during the second quarter 2014 to $19 million. However, with the South Towne Center transaction, the volume in sales during the third quarter will be the highest ever, exceeding $403.6 million. The sale is, by far, the highest priced transa