Simon Property Group Terminates $3.6B Taubman Centers Merger Agreement

Taubman owns 26 super-regional malls and power centers, with three in California, including the 1.3 million-square-foot Sunvalley Shopping Center in Concord. (Image courtesy of Taubman Properties)

INDIANAPOLIS — Simon Property Group (NYSE: SPG) has terminated its Feb. 9 merger agreement with Taubman Centers Inc. (NYSE: TCO). Simon also filed an action today in Michigan’s Oakland County Circuit Court saying Taubman breached the covenants in the merger agreement.

Under the terms of the agreement, Simon was to acquire an 80 percent interest in Taubman for approximately $3.6 billion. Indianapolis-based Simon says its termination of the merger agreement is based on two separate grounds.

“First, the COVID-19 pandemic has had a uniquely material and disproportionate effect on Taubman compared with other participants in the retail real estate industry,” according to a statement from Simon. “Second, in the wake of the pandemic, Taubman has breached its obligations, which are conditions to closing, relating to the operation of its business.” <Read more>

Dempsey Construction Completes Renovation of Capistrano Plaza in San Juan Capistrano

Renovations at The Capistrano Plaza in San Juan Capistrano included a new stucco exterior, custom terracotta tile and all new electrical, plumbing and HVAC.

SAN JUAN CAPISTRANO, CALIF. — San Diego-based Dempsey Construction has completed the extensive renovation of The Capistrano Plaza, a multi-tenant retail building located at 31751 Camino Capistrano in San Joan Capistrano’s historic district.

The project consisted of the complete exterior and interior renovation of the building, which was built in 1958. The renovated property features a new stucco exterior with a wood-clad window system, awnings, bi-fold storefront doors and custom terracotta tile. Additionally, a new switchgear and transformer were installed and all new electrical, plumbing and HVAC throughout.

Bickel Group Architecture served as design architect. Frontier Real Estate Investments owns the property.

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Philly’s Best to Open First Northern California Location

Philly’s Best first Northern California location is slated to open this summer in Oakland.

OAKLAND, CALIF. — Philly’s Best, a Southern California-based Philly Cheesesteak restaurant, plans to open its first Northern California location in Oakland this summer. The restaurant will be located at 8460-D Edgewater Drive within Hegenberger Gateway Retail Center in Oakland.

With 19 locations operating in Southern California, Philly’s Best offers authentic Philly Cheesesteaks, hoagies, cheesesteak fries and other Philadelphia favorites.

Percy Family Farms Acquires 6,480 SF Retail Building in Clovis

CLOVIS, CALIF. — Percy Family Farms has purchased a retail asset, located at 295 N. Clovis Ave. in Clovis, from John and Deanna Driscoll. The acquisition price was not released.

The property features 6,480 square feet of retail space. Troy McKenney and Craig Holdener of Newmark Pearson Commercial brokered the transaction.

Company News

SVN Adds Capital West Partners, Expands California Network

SAN JOSE, CALIF. — SVN International, a full-service commercial real estate franchisor of the SVN brand, had added SVN | Capital West Partners as its newest franchise office.

Located in San Jose, Capital West Partners specializes in the brokerage of investment properties located in the Silicon Valley market and throughout the San Francisco Bay area. Additionally, the firm provides leasing services for office, industrial and retail properties on behalf of landlords and tenants.

Robin Santiago will serve as managing director and Janine Nguyen will serve as director of marketing for the new office. Santiago has been involved in closing more than $200 million in transactions during his career.

Nadel Architecture + Planning Launches Direct-to-Retailer Design Studio

Ryan Weller has joined Nadel Architecture + Planning as director of retail to lead the firm's new Direct-to-Retailer design studio.

LOS ANGELES — Nadel Architecture + Planning, a Los Angeles-based architecture and design firm, has launched a Direct-to-Retailer design studio.

Led by newly hired Ryan Weller as director of retail, the new Direct-to-Retailer studio will cater to the design needs of evolving retail tenants, while the firm’s existing Retail studio will continue to serve the needs of retail destinations.

“The retail industry continues to reinvent itself as consumer preferences evolve,” says Greg Lyon, chairman of the board of Nadel Architecture + Planning. “Today’s environment is shining a light on what is working and what is not working, which isn’t necessarily a bad thing. It’s a time of opportunity.”

“We believe that we will see shopping destinations begin to push the envelope, taking advantage of new vacancies to invigorate spaces,” he continues. “We will also see retailers seeking innovative design concepts for their retail stores that better align with today’s consumers’ experiential needs and wants.”

Weller joins Nadel with nearly two decades of experience in the design and planning of retail properties across the country. In his new role, Weller will focus on developing the Direct-to-Retailer design studio, while executing the planning and design objectives for high-end retail projects throughout the nation. Most recently, Weller served as director of retail for Menemsha Architecture.

Leases

La Michoacana Plus Leases 1,300 SF Retail Space in Tulare

TULARE, CALIF. — La Michoacana Plus has signed a lease to occupy 1,300 square feet of retail space at 1340 E. Prosperity Ave. in Tulare. Jung Dae Choo is the landlord.

Michael Arfsten and Lewis Smith of Retail California, in cooperation with Zaira Fernandez of Dynasty Real Estate, handled the transaction.

Goody Bear & Co. to Occupy 1,500 SF Retail Space in Clovis

CLOVIS, CALIF. — Goody Bear & Co. has inked a deal to lease 1,500 square feet of retail space at 393 W. Shaw Ave., Unit A-10, in Clovis.
CX Sunflower LLC is the landlord.

Michael Arfsten and Nick Frechou of Retail California brokered the deal.