DEER PARK, IL — Deer Park Town Center has been sold for $125 million, with its new owners planning to bring in additional tenants and introduce changes to public gathering spaces at the longtime northwest suburban shopping destination.
Brand Street Properties acquired the open-air center in a joint venture with AEW Capital Management, according to the companies. Newmark represented seller PGIM in the transaction.
The property sits at Rand and Long Grove roads and has served the area for more than 25 years. Deer Park Town Center was developed in 2000.
Brand Street describes Deer Park Town Center as a roughly 410,000-square-foot property that is about 85 percent leased. A current leasing brochure lists 403,436 square feet of gross leasable area, while Newmark listed 352,257 square feet in announcing the sale, reflecting differing measurements used in marketing the property.
The center's current tenant lineup includes Apple, Crate & Barrel, Pottery Barn, Sephora, lululemon, Anthropologie, Williams Sonoma, Barnes & Noble, Gap, Banana Republic, Warby Parker, Sweetgreen, Biaggi's Ristorante Italiano, Stoney River Steakhouse, Ancho & Agave and California Pizza Kitchen.
A new leasing brochure released under the Brand Street name shows several spaces currently available, including units ranging from 800 square feet to nearly 12,000 square feet.
Brand Street said it will handle day-to-day management, operations and leasing at the center and intends to increase occupancy and further refine its mix of retailers.
The company also plans to reimagine public gathering spaces in an effort to increase traffic and improve the customer experience, according to a report from The New York Real Estate Journal.
"Deer Park Town Center represents exactly the type of opportunity we look for: high-quality, well-located real estate with a strong tenant mix, an established connection to the surrounding community and meaningful potential for further growth," Jordan Brandes, senior vice president of acquisitions at Brand Street Properties, said in announcing the deal to the outlet.
Newmark said the property was about 84.6 percent occupied at the time of the sale and attracts approximately 3 million visitors annually. The brokerage also said about 74,000 square feet of leasing activity has taken place recently, bringing tenants including Sweetgreen, Tommy Bahama, Pandora, The Shade Store, Bluemercury, Joybird, American Eagle and Warby Parker to the center.
The new owners are also emphasizing the demographics surrounding Deer Park Town Center. According to the Brand Street, nearly 179,000 people live within five miles of the center, with an average household income of about $170,000. The brochure says 55 percent of households within that radius earn more than $100,000 annually.
The materials also show higher-than-average household spending around the center in categories including food and beverage, apparel, furniture, beauty, and entertainment and recreation.
Newmark similarly cited the surrounding demographics as a selling point, saying more than 180,000 residents live within five miles and that average household income is approximately $170,000. More than 50,000 vehicles pass the property daily, according to the brokerage.
Connor Nolan, vice president of leasing at Brand Street, said the company believes there is room to attract more national brands to the property.
"By leveraging our network of premier tenant relationships and hands-on management expertise, we are well positioned to attract category-leading brands, elevate the overall tenant mix, and drive sustained long-term value," Nolan said.
Brand Street's current property portfolio includes retail and mixed-use properties across several states, with Deer Park Town Center representing its Illinois property.
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