Danville-based BHV Centerstreet Properties is in the midst of planning to build a 112,000 square foot Pacific Pearl Shopping Center in Pleasanton during 2016. The development cost of the project will be at least $50 million.
“It’s our opinion that our project will have no direct competition. For people in Pleasanton now, they are driving to Milpitas to find an Asian oriented shopping center experience. For this reason we think our project will have a regional draw with a trade area that covers anywhere from 10 to 25 miles,” says Brad Blake, a managing partner with BHV Centerstreet. The trade area distance for this property is unique, as most grocery anchored shopping centers typically have a trade area of around three to five miles.[contextly_sidebar id=”IyiIujk5GvJNOHoP2X527sqkDPXJdZEa”]The anchor-tenant in the property is Marina Food, one of the Bay Area’s most established Asian foods supermarket. The property will also have an international food court and dim sum banquet restaurant in addition to a mix of traditional and Asian-oriented tenants.
The development covers 11.5 acres. The site of the development is located at the intersection of Stonebridge and El Charro Road. The location puts it across the street from the San Francisco Premium Outlets shopping center and in the immediate vicinity of retail and residential developments planned or underway.
The San Francisco office of HFF helped arrange equity and debt capital for the project that was over $50 million. One part of this is a joint venture equity partnership with a fund advised by UBS Asset Management. The construction debt on the project is being provided by Wells Fargo Bank.
“I think that the fact that the project is 65 percent to 75 percent pre-leased prior to the start of construction says something very strong about the tenant demand for this project and that these tenants view the site as a strong location,” says Bruce Ganong, senior managing director with HFF. He worked on arranging the capital for this project along with Nicholas Bicardo, managing director and associate directors Brandon Roth and Danny Reddin.
The groundbreaking for Pacific Pearl is planned for February of 2016. The expectation is that the project will be open for business by early 2017.