Shopping center near Pacheco Pass on market for about $80M

158

GILROY

The owners of Gilroy Crossing have put the shopping center in south Gilroy on the market for about $80 million, according to news reports.

The 325,431-square-foot retail mecca just off U.S. 101 at the intersection of Camino Arroyo and Pacheco Pass Highway opened in 2004 and is owned by Lakha Properties-Gilroy, a Washington-based company registered to Glen Price, a Riverside-based lawyer, according to state records.

Lakha purchased the property in 2006 for $86 million, but neither Price nor Mark Lucescu of Lucescu Realty – the company hired to market the listing – could be reached for comment. GlobeSt.com, a real estate periodical, first published the news Monday.

Everything in the center except the plot Target sits on is for sale, according to GlobeSt.com. The publication also reported that, according to Lucescu, the buyer will assume the existing 5.01 percent loan of $49 million that has six years left, including one interest-only year.

Larry Cope, Gilroy’s Economic Development Corp. CEO and president, said Tuesday he had not heard about the listing, but he added that owners typically sell centers to shift to other outlet-like ventures or more mixed-use downtown developments. He also said that the economy could be forcing the owners to shell up capital to possibly protect other investments.

Lucescu’s Web site is under construction and did not have the property listed.