BARRINGTON, IL --- GK Development, Inc., a Chicago-area real estate acquisition and development company specializing in retail properties, has acquired Greeley Mall in Greeley, Colorado.The acquisition of the 577,200 square-foot mall marks the company’s first foray into the Colorado market. The property is located on US Hwy 34 at 23 rd Avenue, one mile west of Highway 85.
"Given our experience in the development, leasing and management of retail properties, we see an outstanding opportunity in Greeley Mall to add value to an already strong property. Northeastern Colorado’s growth and diverse economy were key factors in our decision," said Garo Kholamian, president of GK Development.
"This transaction fits our strategy for acquiring properties where we can be a leading player," Kholamian added. "Greeley Mall is the only enclosed regional mall for Weld County, providing a shopping venue for nearly 175,000 consumers. We expect to retain that position."
Greeley, the county seat of Weld County, is the fastest growing metropolitan area in the country. According to the U.S. Census Bureau, the metro area population grew by 16.8 percent between 2000 and 2005. The Bureau estimates growth of 18.5 percent over the next five years within a 15-mile radius.
"Northern Colorado is an attractive market serving a growing and diverse workforce as well as the student population and employees of the University of Northern Colorado. We recognize that sales at the mall are following the area’s housing trends, and are expected to continue growing," said Kholamian.
Strong agribusiness, substantial industrila diversity and available quality housing is driving the area's economic and population growth.
Greeley Mall is located at the center of the area’s residential boom. Within eight miles, there are roughly 5,000 to 8,000 homes currently under construction or planned.
The mall's location on U.S. Highway 34 is easily accessible from major roadways, including U.S. Highway 85, I-25, I-80 and I-76.
GK Development has acquired nine regional shopping centers in the past two years. The real estate company acquired Holiday Village from The Macerich Company LLC. The purchase price was not disclosed.
"We have a long history of maximizing the potential of our properties," said Kholamian.
"Using our experience, we’ll analyze all opportunities for their potential to enhance the shopping experience at Greeley Mall. In an effort to strengthen the mall’s position, we will look at adding new retailers and exciting amenities to the existing mix," he said.
Greeley Mall boasts four major department stores, a 12-screen theater and 58 specialty stores located on a single level. Major tenants are Dillard’s, Dillard’s Market Center, Cinemark Theater, JC Penney and Sears.
The shopping center, built in 1973, was last renovated in 2004. Improvements included construction of the 12-screen theater, expansion of the main mall area, an updated entrance, vaulted ceilings, new flooring, new interior and exterior finishes and new signs.
The company has retained the property’s management staff, who will become employees of GK Development, Inc..
Copyright 2008 GK Development, Inc.