Local investors Town West Realty, HSL Properties and Iridius Capital have announced they joined forces to purchase La Encantada, Southern Arizona’s premier lifestyle center.
Featuring AJ’s Fine Foods, a variety of luxury retailers and several upscale restaurants in a beautiful outdoor setting at the base of the Santa Catalina Mountain Range, La Encantada was developed in the early 2000s and has been the premier gathering place of the Catalina Foothills ever since.
The open-air, 246,000 square-foot specialty center sold for $165.3 million on Sept. 17. The seller was Macerich, one of the nation’s leading owners, operators and developers of one-of-a-kind retail and mixed-use properties in top markets
“The best lifestyle centers are more than a shopping destination,” said G.S Jaggi, CIO at Iridius Capital. “For consumers, they’re a central hub of daily life. For tenants, they’re an opportunity to build meaningful customer relationships that increase sales both online and in-store.”
“Our vision is an updated and vibrant La Encantada that provides consumers with experiences and events that can’t be replicated online,” said HSL Properties Chairman Humberto Lopez.
Town West Realty will serve as La Encantada’s managing partner and is already working to bring several new-to-Tucson retailers to the center, including Warby Parker and LoveSac. More tenant announcements will come soon.
“La Encantada is a one-of-a-kind retail and lifestyle center,” said Town West Realty Chairman and Founder Jim Horvath. “We are excited about the opportunity to be part of a project that will bring people together from all over Tucson for years to come.”
The buyers were represented by Hinderaker, Rauh & Weisman, Thrasher Law Offices and Town West’s in-house general council Martin Jones.
Town West’s portfolio includes approximately two million square feet of commercial real estate, including premier Arizona lifestyle assets like Oro Valley Market Place and Shoppes at Chandler Crossings. Town West recently celebrated its 40th year of serving Arizona.
Over the past 46 years, HSL has acquired, owned, operated and developed properties throughout the southwestern United States. HSL Properties currently owns and operates 37 apartment communities and eleven hotels in Arizona, including El Conquistador, a Hilton Resort and the Ritz-Carlton, Dove Mountain.
Founded in 2011, Iridius Capital is a real estate company that partners with industry leaders to acquire and develop best-in-class real estate assets. Current real estate assets include Wilmot Plaza, Oracle Crossing, Campbell Plaza, and One South Church.