Houston-based NewQuest Properties has acquired the 117,391-sf Andersen Fiesta Shopping Center in southeast Phoenix, closing on its first wholly owned asset in Arizona for a major redevelopment.
Nearly $10 million will be invested into redeveloping and re-tenanting the center, located at 1760 W. Chandler Blvd. in Chandler, with high-end international restaurants and retail, mirroring two of NewQuest's successful Asian-influenced developments in North Texas. Already committed to NewQuest's project is 99 Ranch Market, which will open its first corporate-owned store in Arizona in the 44,450-sf shuttered Basha's grocery.
NewQuest purchased the center, which has been renamed Chandler Ranch Shopping Center, from LNR Partners after the 35%-leased property was pulled from the auction block. "We closed it very quickly. We'd been watching this listing for several months," says Heather Nguyen, a development partner with NewQuest and the driving force behind its Asian-focused projects. "We're entering new markets with this concept and definitely expanding our horizon here."
Upgrades to the 14.47-acre Chandler Ranch Shopping Center will begin in the coming months. The retooling calls for demising and reconfiguring 72,681 sf of inline space, adding restaurant infrastructure, new storefronts, lighting, landscaping and parking lot improvements plus renovating the anchor space for 99 Ranch Market. The grocery store is planning to open in late summer or early fall 2020.
NewQuest's newest asset is easily accessible to Loops 101 and 202 in the heart of Chandler's five major employment corridors. The center, situated in the Price Corridor, is close to Bank of America's corporate campus, Microchip's headquarters, the GM IT Innovation Center, an Intel campus, PayPal's regional HQ and Chandler Regional Medical Center. Adding to the location's strength is an average annual household income of $103,000 within a five-mile radius.
"This is a regional location right in the growth area of a market that's pro-development," Nguyen says. "We're bringing an international dining destination to Chandler."
Nguyen has started courting a masterfully curated list of luxury international restaurants and retail brands from Pan-Asia and California that she assembled for NewQuest's Carrollton Town Center and Frisco Ranch in Greater Dallas. None of the tenants has a presence in Arizona.
Chandler boasts the largest percentage of the Asian population in Arizona, a demographic that is destined to grow as neighboring California's prices drive businesses and families in search of more affordable markets in the sunny Southwest. In the five-mile trade area surrounding NewQuest's property, there are nearly 295,000 residents, of which more than 8.3% are Asian or Pacific Islander and the number is rapidly expanding.
As in Texas, NewQuest will introduce leading Asian restaurateurs of authentic and diverse cuisines, high-end bakeries, dessert shops and specialty stores to Chandler. The brands are familiar to Asians who have relocated to Arizona, travelers abroad and a growing base of non-Asian connoisseurs who delight in new culinary experiences.
"We're creating destination where the community can gather to enjoy an international shopping and dining experience," Nguyen says. "It will be an authentic adventure for all."
NORTH TEXAS LEASE
Teso Life has leased 9,600 sf of retail space in phase II of Carrollton Town Center, located at the intersection of President George Bush Turnpike and Old Denton Road, Carrollton, from NewQuest Properties. Heather Nguyen of NewQuest Properties represented the landlord. John Nguyen and Grace La, also with NewQuest Properties, represented the tenant.
NORTH TEXAS SALE
NewQuest Properties has acquired a vacant 10,700-sf retail structure on 1.13 acres at 9150 Warren Parkway, Frisco, from Motagna Ventures LLC. Heather Nguyen of NewQuest Properties represented the buyer. David Schnitzer of Ascend Commercial Real Estate represented the seller.
SOUTH TEXAS LEASE
CBD American Shaman has leased 1,800 sf of retail space in Parkdale Crossing, 9150 S. Main St., Beaumont, from Parkdale Crossing CMBS LLC. Andrew Alvis of NewQuest Properties represented the tenant. Mike Oswald of CBL Properties represented the landlord.
SOUTH TEXAS SALES
K-Kies Ltd. has acquired a 2,704-sf commercial building on 0.67 acres at 3120-A Southwest Freeway, Houston, from JP Morgan Chase Bank. Glenn Dickerson and Neal Thomson of NewQuest Properties represented the buyer. Jazz Hamilton and Russell Janicek of CBRE represented the seller.
NewQuest Properties has acquired 4.99 acres at the intersection of Interstate 10 and Grand Parkway/TX 99, Katy, from Parkside NEC Grand Parkway/I-10 LLC. Heather Nguyen of NewQuest Properties represented the buyer in the direct deal.
NewQuest Properties, founded in 2001, is a privately owned, full-service commercial real estate firm specializing in development, land brokerage, leasing, tenant representation, investment sales and property management services. Headquartered in Houston, NewQuest owns a portfolio encompassing more than 60 retail and mixed-use projects valued at $2.2 billion and provides leasing services for more than 12 million square feet of commercial space in Texas, Louisiana and throughout the U.S.
