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ROCKLAND, Mass. -- Tedeschi Realty Corp. plans to sell 26 large format retail properties in the Greater Boston area with a value around $400 million, in a deal that might be the largest portfolio of sales in the region, reports the Boston Business Journal.
"This is the largest portfolio of Greater Boston shopping centers ever to hit the market," James Koury of Jones Lang LaSalle, which will sell the portfolio, told the paper. "We're hoping [it will sell for] over $400 million."
The Tedeschi family decided to sell the portfolio, which is completely separate from its convenience business, Tedeschi Food Shops, because the timing was correct, said Terrence Tedeschi, president of the real estate company. Tedeschi said there wasn't a financial reason behind selling the portfolio, which was developed as part of the family's earlier supermarket operations. However, he said the profits from the sale could be reinvested into other property types.
The properties are a total of nearly two million square feet and are located in communities on the South Shore between Braintree and Orleans, Mass. The properties fall within three different real estate segments -- 10 are leased to one tenant; eight are supermarket-anchored plazas and eight are non-grocery-anchored neighborhood centers or development-orientated property, the report stated.
Koury said the next largest retail portfolio sales occurred in 2000 when 19 shopping centers were sold for $119 million and in 1996 when 25 retail properties were sold for $96 million.
The Tedeschi Realty Corp. portfolio historically maintains 98 percent occupancy. The grocery-anchored shops are leased primarily to Stop & Shop Cos., Koury told the newspaper.
"We think the value of these properties is at historical highs," he said.
Tedeschi also operates and franchises 200 convenience stores in the Boston metropolitan market under the brand names Tedeschi Food Shops, L'il Peach and Store 24.