WEST MIFFLIN, PA
The Chetek Group, as exclusive advisor, is pleased to present the opportunity to acquire Century Square Shopping Center, (“The Property”) – an 84% leased, 415,613 square-foot new construction Walmart & Sam’s Club shadow anchored regional shopping center, situated on +/- 47 acres of land in West Mifflin, PA. The Property was fully renovated in 2016.
The Property is ideally situated in the heart of a dense commercial and residential corridor off the heavily traveled intersection of Lebanon Church Road (29,510 VPD) and Mountainview Drive (28,640 VPD). Century Square Shopping Center features a newly built 88,800 square foot Lowe’s that is leased through 2032, a 65,520 square foot Hobby Lobby that is leased though 2028, a Shop ‘n Save grocery store leased through 2021, and Century Square Theatres which is the predominant theatre in the market and is leased though 2031. Other notable tenants include Chili’s, Planet Fitness, Dollar Tree, Hallmark, Citi Financial, Boost Mobile, Subway, Community Eye Care, Accuquest Hearing, University of Pittsburgh Medical Center (UPMC), Altmeyer’s Bed Bath Home Store and Empire Beauty School, among others. The Property is leased to a diverse, service-oriented tenant mix including dining, entertainment, financial services, medical services, a fitness club, a grocery store, and a large-scale home improvement store for both contractors as well as the typical do it yourself consumer.
The Property provides investors with an exceptional value-add opportunity through vacant space lease-up (16% of GLA), fixed rental increases, and below market rents rolling to market. The net operating income is projected to grow over $958,563 (47%) over the 10-year hold period providing a strong hedge against inflation, producing a CAGR of 4.4% by 2029.
The Property is being offered free and clear of debt at a 9.07% cap rate for $22,500,000
Century sqaure is shadow-anchored by a 202,110 square foot Super Walmart and 123,357 square foot Sam’s Club.
New build to suit 88,800 square foot Lowe’s with term through 2032.
Outparcels include Century Square Theatres with term through 2031 and a Chili’s with term through 2021.
The West Mifflin (Pittsburg MSA) submarket has a very low submarket vacancy rate of less than 3% and maintains high barriers to entry as the trade area is well-established and has been largely built out for decades – with new growth spurred by organic, strategic redevelopment of existing inventory.
Dense population with more than 185,000 people within a 5-mile radius of the property. Allegheny county population is 1,223,048, making it the state’s second-most populous county, following Philadelphia County.
The high performing Century Square Luxury Cinemas produces approximately $644,389 per screen – well above the industry average revenue per screen. In addition, the cinema includes two 3D screens and is top-rated in the Pittsburgh MSA for having the most comfortable seating and luxurious auditoriums after a complete gut renovation was completed in 2016.