Investment Overview

Marcus & Millichap is pleased to exclusively list for sale Church Square Shopping Center, located at 820 Church Street in Norfolk, Virginia. This retail center is 13,334 square feet situated on a 0.87-acre plot of land, located on a primary artery, Church Street, connecting north and south Norfolk. The center provides investors with a unique stabilized cash flow, with the opportunity to add value. The center offers a 93 percent occupancy in its tenant mix along with terms expiring on average in 2024. However, these leases are structured as Gross leases, giving investors the unique opportunity to enjoy a mostly occupied center and having the option to restructure the leases into NNN agreements in the long-term. Currently, the center achieves an average of $14.14 per square foot in gross lease base rents, resulting in a Year One 8.36 percent CAP rate, and a 11.78 percent total return after debt service and principal reduction, with current market financing terms. Church Street Shopping Center provides investors with the unique opportunity to increase the CAP rate to 16.11 percent and the total return to 38 percent after restructuring the current gross leases to NNN leases. Church Square Shopping Center is immediately north of downtown Norfolk, home to the MacArthur Center Shopping Mall seeing over 2.1 million visitors annually. Church Street also provides easy access to Waterside Drive and Boush Street, popular thoroughfares with access to high-end dining, shopping, offices, and tourist attractions, featuring over 21,000 vehicles per day on average.