In May 2007, Eastbank JDT, represented by Donnie Jarreau, Chris Dozier and Collier Thornton, purchased a 120,000-square-foot shopping center on La. 30 near La. 44 in Gonzales for about $2.9 million. According to Thornton, the actual sale price was less than $24.00 per square foot. "The tenants were paying rents that are significantly below market," he says. The group recognized that La. 30 was quickly becoming the retail corridor for Ascension Parish with the nearby development of Cabela's and Home Depot. The shopping center, built in the 1970s, was a real estate investment with significant potential upside. Their plan was to rehabilitate the center and re-tenant it. The plans have been released for the center to undergo a $3 million facelift. New tenants will include Tractor Supply, Anytime Fitness, WOW, Wing Stop and PJ's Coffee. The new tenant base will significantly increase net income, and the center should garner higher rentals after the renovations take place. Eastbank JDT also purchased the former Cactus Café directly in front of the center. The building will be removed, and a more modern retail structure will be constructed in its place. The rehabilitation and renovations should begin some time in the next month.
(Appraiser Tom Cook owns Cook Moore and Associates. Reach him at 293-7006 or TCook@cookmoore.com.)
Comments
Post a comment
(Requires free registration.)