CONNOLLY, a premier real estate developer and investor based in Atlanta, announces a joint-venture acquisition with Coro Realty Advisors of Sandy Springs Gateway, a 121,370-square-foot, grocery-anchored shopping center in Sandy Springs, Georgia. CONNOLLY and Coro Realty purchased the center from Atlanta-based Core Property Capital for $40.5 million. The transaction closed February 14. This is CONNOLLY’s second acquisition in eight months.
“Sandy Springs Gateway is a supremely located asset on the Roswell Road retail corridor at the junction of Atlanta’s most affluent communities,” says Timothy “J.R.” Connolly, chief executive officer, CONNOLLY. “This is not just another vehicle-oriented strip center—this asset has a pedestrian-friendly site plan with street-front retail and a strong merchandising mix that appeals to the surrounding neighborhoods. Along with our partners at Coro Realty, we look forward to improving this unique property by transforming it into the gathering spot of choice for the Chastain Park, North Buckhead and Sandy Springs communities.”
One of the few true live-work-play mixed-use developments situated on Roswell Road, Sandy Springs Gateway features a strong blend of retail, restaurants and service providers, as well as 28,000 square feet of second-story boutique office space. Adjacent to the center, two luxury apartment communities, The Collection and The Gateway Chastain, consist of 630 studio, one-and-two bedroom residences.
The tenant mix, offering goods and services that can’t easily be replicated online, serves the thriving, affluent nearby communities. Anchored by Sprouts Farmers Market, a strong mix of local and national brands includes Snooze A.M. Eatery, Taka Sushi and Passion, Big B’s Fish Joint, Tupelo Honey Café, BLAST fitness studio, Corks & Caps, The Whole Dog Market, Chipotle, Kale Me Crazy, Buttermilk Sky Pie Shop and CVS Pharmacy as well as other shops and services. The center is 82% leased.
“The property has huge potential to become the #1 high-energy, 18-hour destination in the neighborhood,” says Robert Fransen, president and managing partner, Coro Realty. “Our goal is to elevate the overall visitor experience no matter the duration of their stay. We are currently evaluating capital improvement plans that will enhance the consumer experience.”
Sandy Springs Gateway has excellent visibility from Roswell Road, a preferred north-south thoroughfare that accommodates 38,000 vehicles per day and connects Atlanta’s two largest office submarkets — Central Perimeter and Buckhead. Convenient ingress/egress is managed with a signalized intersection at Windsor Parkway and a back entrance from West Wieuca Road for customers arriving from the Chastain Park community. Situated less than one mile from Chastain Park, which hosts one million visitors per year for concerts, golf, walking/jogging trails, horse riding, tennis, swimming and other recreational activities, this center is well positioned within a densely populated community. With average household incomes over $182,000, Sandy Springs Gateway’s zip code is within a 5-mile radius of the top-ten zip codes with the highest median home values in the Atlanta MSA. The trade area’s population is projected to grow by 6.1% within a five-mile radius by 2026.
“We look forward to working with Coro to create long-term value for this prime asset,” states Connolly. “This is our third joint venture with Coro. Together, we have the knowledge, experience, and local expertise to execute a strategic plan to enhance this destination so it best serves the surrounding communities. Our companies share the same vision of what makes pedestrian-oriented retail work in Atlanta. Our joint-venture developing Parkview on Peachtree in Chamblee, less than a 15-minute drive away, is evidence of our aligned objectives.”
The deal was brokered by Conor Lalor and Eric Zimmerman of Eastdil Secured. Financing was provided by Credit Union Business Services and Georgia’s Own Credit Union and arranged by Walker & Dunlop. Coro Realty will manage the property and LaVista Associates, Inc. will lease the retail space.
CONNOLLY seeks value-add retail and land acquisition opportunities as well as retail and mixed-use development opportunities throughout the Southeast, particularly those located in dense, pedestrian-friendly locations. Coro seeks a diversified portfolio in urban and infill locations.