Summary:

Rancho San Marcos Village is a retail center in the northern section of San Diego, California. It was anchored by a 30,000 square foot Vons Supermarket and 24 Hour Fitness. It is on a major arterial road and is extremely busy.

Challenge:

Vons Supermarket needed to expand and there was no room to do so. The center was 95% occupied and most tenants were performing well. Rents were well below market since many of the leases were old.

Solution:

The only way to keep Vons was to expand them. Therefore 3 adjoining tenants were approached about relocation and/or buyouts. Eventually all agreed and we were able to expand Vons and execute a new 20 year lease term with them.

Results:

The center is 100% occupied and rents are rising
steadily.