LOS ANGELES – May 10, 2017 – A fund advised by CBRE Global Investors has acquired King of Prussia Town Center, a newly constructed 263,423 square foot Class-A, experiential open-air shopping center located in an affluent suburb of Philadelphia.
Located at 155 Village Drive in King of Prussia, Pennsylvania, the property is the retail centerpiece of The Village at Valley Forge, a 122-acre master planned, mixed-use development that will feature nearly 3,000 residential units and 1 million square feet of commercial space upon completion. The property is shadow-anchored by a strong-performing Wegmans grocery store, which is owned by the same fund.
In addition, the property is located at the confluence of suburban Philadelphia’s four most active roadways with an average traffic count of over 360,000 vehicles per day and is adjacent to the King of Prussia Mall, the largest superregional mall in America with over 20 million visitors each year.
The center is 87 percent leased, features a walkable, high-quality urban design that combines a wide variety of necessity and experiential retail in an attractive town center environment. The fund team plans to lease the remaining vacancy and hold for long-term stable cash flows.
The submarket has the strongest demographics in Pennsylvania with average household incomes of more than $130,000 and median home values that are twice the U.S. average.
“King of Prussia Town Center is a one-stop shopping and dining destination located on the border of Pennsylvania’s wealthiest counties, serving some of the nation’s most affluent and well-educated populations,” said Kim Hourihan, Portfolio Manager, CBRE Global Investors. “The combination of attractive demographics and exceptional accessibility makes the property the ideal location for retailers and restaurants alike. As e-commerce has disrupted traditional retailers, necessity retail and destination restaurants drive daily traffic, enhance the shopping experience and offer protection against e-commerce risks affecting other retailers.”
About CBRE Global Investors
CBRE Global Investors is a global real estate investment management firm with $86.5 billion in assets under management* as of March 31, 2017. The firm sponsors investment programs across the risk/return spectrum for investors worldwide.
CBRE Global Investors is an independently operated affiliate of CBRE Group, Inc. (NYSE:CBG). It harnesses the research, investment sourcing and other resources of the world’s premier, full-service commercial real estate services and investment company for the benefit of its investors. CBRE Group, Inc. has more than 75,000 employees in approximately 450 offices (excluding affiliates) worldwide. For more information about CBRE Global Investors, please visit www.cbreglobalinvestors.com.
*Assets under management (AUM) refers to the fair market value of real estate-related assets with respect to which CBRE Global Investors provides, on a global basis, oversight, investment management services and other advice, and which generally consist of investments in real estate; equity in funds and joint ventures; securities portfolios; operating companies and real estate related loans. This AUM is intended principally to reflect the extent of CBRE Global Investors’ presence in the global real estate market, and its calculation of AUM may differ from the calculations of other asset managers.