An agreement to sell Maui Mall has been made, according to a news release from A&B Properties Inc. on Friday.
A&B Properties, a wholly owned subsidiary of Alexander & Baldwin announced that it has agreed to sell the Kahului shopping center to a partnership of Denver-based Alberta Development Partners LLC and an affiliate of Chicago-based Walton Street Capital LLC.
"Maui Mall has been in our Hawaii retail portfolio for over 40 years," said Christopher J. Benjamin, A&B president and chief operating officer. "We were not actively seeking to sell the mall."
An agreement to sell Maui Mall in Kahului was announced Friday by current owner A&B Properties.
The Maui News file photo
Benjamin continued: "A&B remains strongly committed to Maui. . . . Even after the sale of Maui Mall, we will remain one of Maui's largest owners of commercial property, with nearly 370,000 square feet of retail, office and industrial space."
According to the news release from A&B Properties, Alberta Development Partners LLC is based in Greenwood Village, Colo., and deals in the acquisition, development and investment of retail and residential real estate throughout the United States, focusing on regional retail shopping centers and mixed-use commercial and residential projects. Affiliates of Walton Street Capital have invested or committed to invest more than $6 billion of equity in more than 230 transactions.
Maui Mall covers 25 acres and offers 185,700 square feet of commercial space. It is home to Whole Foods Market, Longs Drugs, Regal Maui Mall Megaplex 12 and the Maui County Service Center, as well as dozens of other restaurants and stores. The shopping center was originally developed by A&B in 1971 and is 95 percent occupied, according to the company.
Last month, A&B Properties was granted a special management area permit from the Maui Planning Commission for a T.J. Maxx store and other retail building on the southwest corner of Maui Mall. Company Vice President Grant Chun told The Maui News at the time that construction was expected to begin in the summer. The two new single-story buildings would add 31,940 square feet of retail space to the shopping center.
According to the 2012 Hawaii Data Book, as measured by gross leasable space, Maui Mall currently is the island's fourth largest shopping center, behind Queen Ka'ahumanu Center with 573,000 square feet of shopping area, Maui Marketplace with 315,000 square feet and Lahaina Marketplace with 208,000 square feet.
Subject to the satisfaction of normal closing conditions, the sale of Maui Mall is anticipated to close early next year.