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The basics:

• Lamar, Real Capital Solutions acquire Shops at Legacy Square in Linden
• Union County retail center totals 93,785 square feet across five buildings
• Property features Walmart Supercenter, LA Fitness shadow anchors
• Center offers 18,235 square feet of lease-up opportunity

Madison-based Lamar Cos., and partner Real Capital Solutions, added a recently built Linden retail center located along the Route 1/9 corridor to its portfolio.

JLL announced the sale of The Shops at Legacy Square located at 820-860 W. Edgard Road June 26. The real estate services firm represented the sellers, Stockbridge Capital Group and Cypress Equities, in the transaction. Financial terms were not disclosed.

With a total 93,785 square feet, the five-building outdoor Union County neighborhood shopping center features two strong shadow anchors: JLL said the Walmart Supercenter at the property ranks 10th nationwide for site visits. And the firm also referenced a top-performing LA Fitness, citing Placer.ai data.

Several additional high-profile, shadow pad sites also host credit tenants such as Starbucks, Panera Bread, Taco Bell, Wawa and Chick-fil-A. An AFC Urgent Care and Aspen Dental round out the mix, adding a medical component.

Senior Director J.B. Bruno, Senior Managing Directors Kevin O’Hearn and Jose Cruz, and Associate Cole Doyon led the JLL Capital Markets team that arranged the sale. JLL Senior Managing Director Michael Klein and Senior Director Max Custer also advised the buyer on acquisition financing. Terms were not disclosed.

Bruno noted The Shops at Legacy Square presented a compelling value proposition for investors looking to grow in an established New Jersey retail market. He specifically referenced, “[t]he combination of new construction, exceptional shadow anchor performance and 18,235 square feet of remaining lease-up opportunity.”

Added Bruno, “The property’s strong fundamentals and strategic location along the Route 1/9 corridor drove significant buyer interest.”

‘Exceptional’ retail demand

Union County boasts an average household income of more than $149,000. The 5-mile trade area encompasses a population of 466,129 with an average household income of $116,030, JLL said.

Joint venture seller Stockbridge Capital and Cypress Equities completed the sale of the Walmart Supercenter at the Linden site in 2023. That $55 million sale came as part of a break-up of eight retail parcels, according to reports.

As with other recent retail sales in the region, O’Hearn described a highly competitive bidding process that he says reflects strong demand for quality Garden State, and tri-state area, retail assets. “The amount of investment capital is at an all-time high and more cap rate compression is expected which bodes well for sellers/owners,” he said.

In April, Real Capital Solutions and Lamar teamed up to acquire 30 Montgomery in Jersey City. The 16-story Class A office building marked the RCS’s entry to the Jersey City market. In the state, Lamar also counts Village at Cambridge Crossing in Mount Laurel in South Jersey among its portfolio, according to its website. Meanwhile, RCS also lists Ventor Shopping Center in Ventor City among its assets.