Cherry Hill Shopping Center Has Sold; New Owners Tout 'Expansion Potential'

Correction: A quote was previously attributed to the wrong individual at Capstone.

CHERRY HILL, NJ — A Cherry Hill shopping center — the site of a once-proposed Super Wawa that sparked community opposition — has been purchased. And the new owners have touted its potential for expansion and new development.

Barclay Farms Shopping Center has sold for $16.1 million to two real estate firms — Bergman Real Estate Group and Capstone Realty Group USA.

Located at 1401 Marlton Pike, the 87,750-square-foot shopping center includes Planet Fitness, Dollar Tree and several restaurants and retail establishments. Bergman and Capstone "plan to create added value through capital improvements" such as facade upgrades, new monument signage, lighting modifications, new landscaping, and parking lot and sidewalk work, according to their joint announcement.

The fate of that parcel remains uncertain. But the buyers' joint announcement mentions a 45,000-square-foot parcel that's "ready for development."

"We have a lot of flexibility to expand the center and accommodate additional retail and high-end medical office requirements," Capstone Managing Partner Brad Gillman said in a news release. "The development could accommodate a boutique supermarket or grocer, a discount wine or liquor center, and multiple freestanding pad sites."

A plan to build a Super Wawa at the shopping center sparked an 18-month battle amid strong opposition from neighbors. Hortense Associates LP, which owned the shopping center at the time, withdrew its application last December. (Hortense is a subsidiary of Philadelphia-based Kaiserman Company Inc.)

• Read more: Super Wawa Application Withdrawn In Cherry Hill After Community Outcry

The proposed Super Wawa, with a convenience store and 16 gas pumps, would have occupied 43,560 square feet. Residents of the Barclay Farm and Kingston Estates neighborhoods expressed concerns over traffic, noise and pollution, which led to organized opposition from Preserve Barclay — a volunteer group that mobilized against the proposed development and continues to promote the neighborhood's well-being.

Barclay Farms Shopping Center is 96 percent occupied. Remaining leasing opportunities also include in-line units as small as 1,880 square feet and pad sites ranging from 2,000-6,000 square feet.

"What initially attracted us to the site was its undeniable old-world charm, evoking nostalgic memories of your neighborhood shopping center that has that special character we all love," said Bergman CEO Michael Bergman. "But, looking deeper, its vast expansion potential is what truly stood out — paving the way for diverse retail uses and even medical offices that we feel will create tremendous upside value."

Bergman Real Estate Group, based in Woodbridge, has primarily built up its portfolio through office markets, with 22 buildings containing 2.25 million square feet. Barclay Farms Shopping Center marks the company's first retail acquisition. Capstone Realty specializes in adding value to commercial properties from distressed sellers, including shopping centers.