Downtown building that houses Patagonia sold for $16.6M
The downtown building at 87 Post Road East that houses the local Patagonia store has been sold to a New York City-based investor for $16,635,000, David Waldman, president of David Adam Realty, said Wednesday.
The 14,400-square-foot property was sold to LJC 87 Post Road Westport LLC by 87 Post Road East Associates, LLC, an entity controlled by Waldman.
Sean Grathwohl of David Adam Realty represented the seller in the off-market transaction, as well as assisted in the procurement of the buyer with Northeast Private Client Group, according to a press release.
The buyer also retained David Adam Realty to provide ongoing property management and leasing services, the release said.
Built in 1924, the flat-iron building was originally built and occupied for more than 80 years by Westport Bank and Trust Co. In 2004, Waldman and his partners acquired the property and began renovating the structure to house the anchor tenant, Patagonia.
“Having Patagonia involved from the beginning allowed us to go beyond local historic designation and receive federal designation,” Waldman said.
In addition to to Patagonia, the building is leased to Pink Sumo Japanese restaurant and Balance Point Capital Partners. The transaction yielded a record cap rate for a stabilized retail asset and shows the continued strength of the Westport market, the release said.
“I am very pleased with the outcome of this investment,” said Waldman. “More importantly, the buyer was a real pleasure to deal with, very professional and focused, making the process efficient and productive.”
Area retailers include Tiffany, Restoration Hardware, Lululemon, Brooks Brothers, as well as more than 50 other national retailers on Main Street, Church Lane and Elm Street, Waldman noted. The property also benefits from its proximity to the Bedford Square mixed-use development on the corner of Post Road, Main Street and Church Lane, which is currently under construction by Waldman’s firm and partners.
Bedford Square recently announced its first anchor store for the project — a 40,000-square-foot Anthropologie, a woman’s clothing and accessories and home decor store.
Other Bedford Square tenants will include Serena & Lily, a San Francisco-based home furnishings retailer. About 30,000 square feet of street retail in the new development remains in addition to 24 luxury apartments, Waldman noted. Workers were on the site this week pouring concrete for an underground garage that will have space for 100 vehicle.
Completion date for the Bedford Square project is scheduled for early 2017