Terranomics Significant Retail Transactions – May 27, 2014

BURLINGAME, CA – May 27, 2014 – Terranomics Retail Services, a dominant retail services provider in Northern California, announces the following transactions:

Zanotto’s Opening New Grocery Store in Sunnyvale
Zanotto’s has signed a long-term deal for 23,200 square feet for a new grocery store at the De Anza Square Shopping Center in Sunnyvale. Owned by De Anza Properties, the center is located at 1356 S Mary Ave, at the SEC of Fremont Ave. Long vacant, the space was officially last occupied by Albertson’s supermarket (Fresh & Easy had a lease in place on the property prior to Zanotto’s, but never occupied). Zanotto’s is a family-owned grocery chain that operates two other full-service grocery stores in San Jose. Its new Sunnyvale store is reported to be its largest, and will have a great deli and produce, exclusive meats, an expanded cheese area and bakery goods, as well as a large wine department. An opening is planned for sometime this fall. Jon Stansbury with Terranomics Retail Services represented Zanotto’s in the transaction.

Sonoma County’s New East Washington Place Signs PetSmart
Sonoma County’s newest power center, East Washington Place in Petaluma, has signed PetSmart, as the popular pet services retailer has agreed to terms for 7,000 square feet of end cap space.  Owned by Regency Centers, East Washington Place is a brand new ±380,000 square foot Target-anchored power center located at the SWC of Highway 101 and East Washington Street, with great highway visibility. Other major confirmed retailers in the project include Dick’s Sporting Goods, TJ Maxx Home Goods, Sprouts and BevMo. Matt Kircher, Katie Singer and John Schaefer with Terranomics Retail Services represented Regency Centers in the transaction.

The Habit Burger Grill Adding More Locations in Alameda and Petaluma
The Habit Burger Grill has penned deals for new restaurants at the brand new Alameda Landing and Deer Creek Village shopping centers in Alameda and Petaluma. Each of the restaurants total approximately 2,400 square feet each, with upcoming openings scheduled for this summer in Petaluma and fall in Alameda. Alameda Landing is a new mixed-use center anchored by Target and Safeway located at SWC Mariner Square and Mitchell Ave owned by Catellus Development Corp. Deer Creek is a located at McDowell Blvd and Lynch Creek Way and owned by Merlone Geier Partners.  Annie Jabuka and John Schaefer with Terranomics Retail Services represented The Habit in both transactions. Matt Kircher and Katie Singer also of Terranomics Retail Services represented Catellus in the Alameda deal.

The Block in Fremont Signs on Dress Barn and The Kebab Shop
The Block shopping center in Fremont has signed on Dress Barn, as the women’s clothing/accessory retailer with over 800 stores inked a long-term deal for 6,597 square feet. Also joining the power center is The Kebab Shop, which leased 2,260 square feet. Per its web site, The Kebab Shop is the first European-styled kebab shop in America,  currently also operating in six locations in Southern California.  At over 1 million square feet combined, The Block/Pacific Commons comprise Northern California’s largest Power Center and features retailers Target, Costco, Dick’s Sporting Goods, TJ Maxx/Home Goods, Nordstrom Rack, and Century Theaters. The center is located at the SWC of Auto Mall Pkwy and Interstate I-880. Matt Kircher and Annie Jabuka represented The Block’s owner, Catellus Development Corp.

New Main Street Cupertino Fetches Lazy Dog Restaurant and Bar
The brand new Main Street Cupertino mixed-use project has fetched Lazy Dog Restaurant and Bar, as the popular casual dining chain has signed a long-term deal for 8,200 square feet. Currently under construction, Main Street Cupertino is located at Stevens Creek Blvd—the city’s main thoroughfare—and Tantau Ave and is owned by 500 Forbes, LLC. Founded in 2003, Lazy Dog has several locations in California, including a new restaurant in Concord that opened in late 2013. This Cupertino location represents the chain’s first entry into the South Bay marketplace. Annie Jabuka with Terranomics Retail Services in collaboration with John Middleton of MKJ Advisors represented Lazy Dog in the transaction.

CitiTrends Takes 12,000 SF Space at Shaw and West Shopping Center in Fresno
Value-priced clothing retailer Citi Trends has completed a lease for 12,000 square feet of inline space at the Shaw and West Shopping Center in Fresno. Located on main thoroughfare Shaw Ave at N West Ave, the center is owned by Hinds Invesments. Headquartered in Savannah, Georgia and operating in over 500 stores in 29 states, Citi Trends sells urban fashion apparel, shoes, accessories and home décor. Patrick McGaughey represented Citi Trends in the transaction.

McDonald’s Ground Leases Chico Site Adjacent to Safeway for New Restaurant/Drive-Thru
McDonald’s Corporation has signed a long-term ground lease for a new restaurant in Chico. McDonald’s leased 47,973 square feet of vacant land at 1388 East Ave, adjacent to the Safeway-anchored East Avenue Marketplace, where the food service retailer will construct one of its prototypical restaurant and drive-thru establishments.  The property is owned by Kitchell Development. Blair Wheatley and James Teare, SCLS with Terranomics Retail Services represented McDonald’s in the transaction.

Orangetheory Fitness Bringing Studio to Market West Shopping Center in North SAC
North Sacramento’s Market West shopping center will be adding Orangetheory Fitness, which leased 3,100 square feet of end cap space. Located in North Natomas, the neighborhood center is owned by Fulcrum Capital Corporation and features Raley’s Bel-Air plus a wide tenant mix. Orangetheory, nationally known for its one-of-a-kind workouts broken into intervals of cardiovascular and strength training using a variety of equipment, is anticipated to open its new workout studio by year’s end. Blair Wheatley and James Teare, SCLS with Terranomics Retail Services represented the landlord in the transaction.

Zensen Sushi Express Rolling Out Newest East Bay Restaurant in Newark
Zensen Sushi Express has signed a lease for 6,657 square feet for a new restaurant at the Lido Faire Shopping Center in Newark. The Ranch-99 and 85° C Bakery anchored center is located along Newark Blvd, between Jarvis Ave and Cedar Blvd, and is owned by Chang Income Property Partnership, L.P. Zensen, a play on words meaning “vying for freshness”, which sounds like the phrase “truly fresh”, underscoring the company insistence on providing fresh, healthy and delicious food. Jon Stansbury and James Chung with Terranomics Retail Services represented Zensen in the transaction.

Verizon Wireless to Add New Mobile Store at Nut Tree Village
Verizon Wireless has agreed to a long-term deal for 3,950 square feet of end cap space at the Nut Tree Village mixed-use center in Vacaville. Located on Nut Tree Rd at E Monte Vista and Interstate-80, the center is owned by Nut Tree Holdings, LLC. Blair Wheatley and James Teare, SCLS of Terranomics Retail Services represented Verizon in the transaction.

Curry Up Now Opening Newest Brick-and-Mortar Restaurant at Crescent Village, North San Jose
Curry Up Now has signed a deal for 3,828 square feet of end cap space at the Retail Shops at Crescent Village at 3250 Zanker Rd in North San Jose. The property, which serves as the retail component to the Crescent Village apartment complex and features a Starbucks, is owned by Irvine Company. Curry Up Now, which started as a food truck and provides street-style Indian fusion cuisine, is expected to open its newest brick-and-mortar restaurant plus bar in North San Jose late this year. Curry Up also operates restaurant locations in San Francisco and San Mateo. Brian Nash and Andrew Nash of Terranomics Retail Services represented the tenant in the deal.

Terranomics provides this information based on best-available knowledge and does not warrant accuracy provided us by 3rd parties. For further verification and/or questions, please contact the brokers listed below with the particular news announcement.

Primary Contacts (names are listed alphabetically):

Annie Jabuka, (650) 931-2204ajabuka@terranomics.com
Blair Wheatley, (916) 329-1547bwheatley@terranomics.com
Brian Nash, (650) 931-2207bnash@terranomics.com
Jon Stansbury, (408) 436-3652jstansbury@terranomics.com
Matt Kircher, (650) 931-2220mkircher@terranomics.com
Katie Singer, (650) 931-2230ksinger@terranomics.com

For market statistics or data, please contact:
Garrick Brown, Director of Research, (916) 329-1558gbrown@terranomics.com

About Terranomics
Terranomics is the dominant retail brokerage firm in Northern California. Terranomics currently has over 30 retail brokers leasing over 20 million square feet of retail property in Northern California and exclusively represents over 100 national and regional tenants. Terranomics has transacted over $3.3 billion in retail investment sales over the last five years. For 40 years, Terranomics has been actively involved in almost every development site and tenant roll-out in the region. Terranomics is the Northern California affiliate of Chain Links Retail Advisors. www.terranomics.com

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