Pegasus Client Rounds the Bases on Shopping Center Redevelopment in South Carolina

Firm handled the acquisition, entitlements, leasing, financing, development, and sale on behalf of a Los Angeles-based family office

SPARTANBURG, S.C., March 21, 2024 /PRNewswire/ -- Pegasus Real Estate Advisory ("Pegasus") is pleased to announce its homerun execution of a comprehensive strategic plan which included the acquisition of a shopping center, its opportunistic repositioning, and eventual sale of a newly constructed outparcel (the "Property") leased to The Habit Burger Grill ("The Habit") in Spartanburg, South Carolina. The Property, a single-tenant net leased drive-thru, sits prominently along W.O. Ezell Blvd. adjacent to The Dorman Centre, a ±400,000 SF open-air center anchored by Walmart and Home Depot, in the heart of Spartanburg's top-ranked commercial corridor.

"The sale of the Property marks a successful culmination of a multi-year process for Pegasus on behalf of its client," remarked Seth Bell, President at Pegasus. The story of its development started several years ago when Pegasus acquired the shopping center on behalf of its client, a Los Angeles-based family office.

At the time of acquisition, the shopping center was 100% occupied by Barnes & Noble and Guitar Center. During the COVID-19 pandemic, Pegasus, on behalf of ownership, proactively entered negotiations with the tenants for the rights to build a freestanding drive-thru building in the center's large existing parking lot in exchange for rent concessions; a win-win for the client and the tenants. Pegasus then managed the entitlements, pre-leasing, financing and development processes, which ultimately led to the sale of the Property.

Prior to the completion of development, Pegasus marketed the Property for sale as a single-tenant net lease investment. "By leveraging our extensive network of real estate investors and industry professionals, Pegasus secured a qualified purchaser after fielding multiple competitive offers prior to The Habit opening for business," explained David Chasin, CEO of Pegasus. "I credit the execution quality to Pegasus' robust ecosystem where all functions are directly managed and controlled in-house," Chasin added. Pegasus completed the sale on behalf of ownership with Melissa Ley of CBRE representing the all-cash purchaser, a private investor completing a 1031 tax-deferred exchange.

"Further, our strong reputation for attention to detail, reliability and consistent performance allowed us to orchestrate an outcome which mutually benefited our client and the purchaser," Chasin concluded. "As the real estate market continues to present extraordinary challenges, more clients are turning to Pegasus for expertise and advisory by leveraging the firm's vertically integrated real estate platform and seamless market execution capabilities. Over the past decade, our asset management portfolio has grown to $2.2 billion in market value, encompassing 320+ single and multi-tenant net leased properties across the country."

Pegasus has deep experience within the Spartanburg market, having completed nine (9) purchase, sale and lease transactions along the W.O. Ezell corridor. The firm is already actively managing the backfill of the former Barnes & Noble box as well as the development of a new single-tenant Whataburger drive-thru located down the street from The Habit Burger Grill. Construction broke ground on March 6, 2024 and is slated for a Q3 2024 completion.

For press inquiries, please contact Aaron Garcia, Marketing Director at [email protected].

SOURCE Pegasus Investments Real Estate Advisory Inc.