Publix Pays $200/SF for DI Publix Center
Publix is now its own landlord in Daniel Island. They bought the Daniel Island Town Center at 162 Seven Farms Drive for about $13.825M, or about $200/SF. The article, from Warren Wise of The Post and Courier, mentions that the seller paid $8.5M back in 2010; actually, Aetna Life Insurance foreclosed on the developer for the note of that same amount.
With about $2B (BILLION) in cash, Publix is on a Southeast buying spree on behalf of its own employee pension fund, where they have bought dozens of well-located long-term strategic centers over the past 5 years to pay themselves rent but also control their own destiny in terms of store expansions, renovations and hand-selecting tenants to join them (instead of compete with them). We at Colliers sold them one in Jacksonville Beach FL at what is believed to be the lowest cap rate ever paid for a stabilized Publix center.