VOL. 128 | NO. 16 | Thursday, January 24, 2013
Dyersburg Mall Sells for $4.4 Million
By Sarah Baker
The Dyersburg Mall has fetched $4.35 million after hitting the online auction block in November.
Yazoo, Miss.-based Action Properties LLC has purchased the 191,038-square-foot Dyersburg Mall for $4.35 million.
(Photo Courtesy of Commercial Advisors LLC.)
Yazoo, Miss.-based Action Properties LLC purchased the 191,038-square-foot regional shopping mall at 2700 Lake Road in Dyersburg, Tenn., under the entity Action Dyersburg LLC. The seller, Jackson, Miss.-based Mattiace Properties Inc., disposed of the asset under the entity Dyersburg Mall Co. LLC.
The sale closed Jan. 7, following a starting bid of $2.2 million Nov. 13.
Shane Soefker and Jacob Biddle of Cushman & Wakefield/Commercial Advisors Asset Services LLC Capital Markets Group represented the seller, in conjunction with Auction.com. The buyer was not represented.
Biddle said the Dyersburg Mall was about 80 percent occupied at time of closing and the transaction will not affect any of its tenants. Tenants include JC Penny (38,010 square feet), Peebles department store (33,796 square feet), Applebee’s, GNC, Bath & Body Works, Radio Shack and Payless Shoe Source.
The property was never traditionally marketed, and was not a fire sale, Biddle said.
“Usually when people think about auction, they think of it in (a fire sale) way,” Biddle said. “But I think we’re finding and we’ll see this happen a lot more with a lot of properties.”
Biddle said the auction process makes for an easier transaction because there is a 30-day due diligence period, a designated time frame in which bidders are given the opportunity to bid, followed by a 30-day closing. This process usually takes 75 days in total.
“It’s just more efficient, frankly, than traditional marketing,” Biddle said.
“We had some folks from New York that bid on it; we had some folks from all over the country.”
Auction.com’s platform also drew more interest from out-of-town buyers than a traditional sale most likely would have, Biddle said.
“We had some folks from New York that bid on it; we had some folks from all over the country,” Biddle said. “The way that it’s marketed on Auction.com, they co-market like properties. There are similar retail properties around the country, so people went in and bid on multiple properties. They kind of diversified their portfolio by (making offers on) several different properties.”
The Dyersburg Mall was the second sale for Capital Markets Group after Commercial Advisors launched the new service line last fall. The first sale was the Smucker’s distribution warehouse in West Memphis, which closed at the end of December for $15.6 million to Exeter Property Group.
Biddle said the Dyersburg Mall is “hopefully the second of many” upcoming sales.
“I think the new group has been well-received,” Biddle said. “There’s quite a bit of opportunity out there, so I imagine that we’ll be pretty busy at least for the first couple quarters.”