New York Life acquires major stake in Cortlandt Town Center

Acadia Realty Trust in Rye has sold a 65 percent interest in Cortlandt Town Center in Mohegan Lake for $107.3 million, the company, a publicly traded equity real estate investment trust, recently reported to investors.

The buyer was New York Life Real Estate Investors, according to CBRE Group Inc. Jeffrey Dunne, David Gavin and Travis Langer of CBRE”™s Metro NY National Retail Investment Group represented the seller.

An Acadia opportunity fund seven years ago paid $78 million for the approximately 641,000-square-foot shopping center on Route 6. Acadia in January recapitalized the retail property with an unnamed institutional partner at a $165 million valuation.

New York Life”™s real estate investment arm acquired a property that is about 97 percent leased. The Cortlandt shopping center was 84 percent occupied when Acadia purchased it in 2009 following the bankruptcies of two junior anchor tenants there.

Tenants include Acme Markets, Walmart, Bed Bath & Beyond, Marshalls, Michael”™s, DSW, PetSmart, Barnes & Noble and Best Buy, with Home Depot a nearby shadow anchor.

“Cortlandt Town Center is the dominant center in the market and is well positioned and easily accessible along Route 6,” CBRE”™s Dunne said in his company”™s announcement of the deal. “This high-quality center has attracted and retained a diverse tenant mix, comprised primarily of national retailers, which should provide stable income to the partnership for years to come.”

Acadia Realty Trust has proposed to build Cortlandt Crossing, an approximately 130,000-square-foot commercial retail center across Route 6 from Cortlandt Town Center. The developer last October submitted a final environmental impact statement for the project to Cortlandt town officials.