Urstadt Biddle Properties Inc., a Greenwich-based real estate investment trust, has purchased a majority interest in the McLean Plaza Shopping Center in Yonkers through a wholly owned subsidiary.
Urstadt Biddle purchased its 51 percent interest from an affiliate of The Great Atlantic and Pacific Tea Co., or A&P, for $7.8 million. A 35,000-square-foot A&P supermarket anchors the 57,000-square-foot shopping center on McLean Avenue near the Major Deegan Expressway. Other tenants include a Duane Reade pharmacy, an E-ZPass service center, Dunkin’ Donuts and Ridgewood Savings Bank.
“We very are pleased to have purchased an interest in this solid neighborhood shopping center,” said Willing Biddle, Urstadt Biddle CEO, in a statement. “It has everything we look for in a shopping center: a supermarket, a pharmacy, an excellent location and very high population density in the surrounding community.”
The real estate company funded the acquisition with available cash and a borrowing on its unsecured revolving credit facility. The purchase price was subject to the company assuming its share of a $2.78 million first mortgage payable that encumbers the shopping center. In conjunction with the purchase, A&P modified its lease and extended the initial term until 2034.
The remaining 49 percent of the shopping center is owned by entities owned by the two real estate families that originally developed the shopping center with A&P. As part of the transaction, Urstadt Biddle will fund a renovation of the supermarket that anchors the property.
