Phillips Edison Grocery Center REIT III Inc., a publicly registered non-traded real estate investment trust co-sponsored by Phillips Edison & Company and Griffin Capital Company, has purchased Ashburn Farm Market Center, a 92,000-square-foot shopping center in Ashburn, Virginia, for approximately $30.9 million, exclusive of closing costs.
The property was purchased from Regency Realty Group Inc. and marks the first acquisition made this year by the company, bringing its total portfolio to six properties totaling approximately 563,000 square feet.
Ashburn Farm is anchored by a 49,000-square-foot Giant grocery store and features a mix of national and regional tenants, including AT&T, Domino’s Pizza, Mathnasium, Starbucks, Subway, The Little Gym and The UPS Store. The shopping center sits 33 miles west of Washington, D.C.
“Ashburn Farm exemplifies our strategy of investing in well-occupied grocery-anchored shopping centers located in thriving markets nationwide,” said Mark Addy, president and chief operating officer of Phillips Edison Grocery Center REIT III. “The Washington, D.C., market represents one of the nation’s fastest-growing regions, and we expect to see continued expansion in Northern Virginia specifically as the Silver Line Rail extension and launch of Amazon HQ2 contribute to additional population growth over the next few years.”
Phillips Edison Grocery Center REIT III invests primarily in grocery-anchored neighborhood and community shopping centers leased to a mix of national and regional creditworthy retailers selling necessity-based goods and services in what it deems as strong demographic markets throughout the United States.
The REIT’s registration statement for its initial public offering was declared effective by the Securities and Exchange Commission in May 2018. Griffin Capital Securities LLC serves as the dealer manager for the offering.
As of the third quarter of 2018, the company’s portfolio consisted of five properties located in four states totaling 471,000 leasable square feet. Four of the properties were purchased for approximately $55 million using proceeds from a private placement offering that launched in October 2016 that raised approximately $57.8 million in investor equity.