Bain Capital and 11North Partners announced the acquisition of five open-air retail centers across California, Virginia, Florida, and Texas for approximately $300 million. The transactions were completed through the exclusive joint venture between Bain Capital Real Estate and 11North, which focuses on investing in high-quality open-air retail centers throughout the United States and Canada across core-plus and value-add strategies.
The portfolio includes approximately 757,000 square feet of retail space located in Carlsbad, California; Falls Church, Virginia; Altamonte Springs, Florida; and Sugar Land, Texas. The properties are situated in dense and affluent submarkets with strong retail fundamentals and are anchored by major tenants including Walmart, Costco, Trader Joe’s, Harris Teeter, and Equinox. The portfolio currently maintains occupancy above 93% and features a tenant mix spanning grocery, fitness, medical, service, and other necessity-based businesses.
According to the companies, the centers benefit from strong operating metrics, including anchor tenant sales exceeding $900 per square foot and average household incomes of nearly $132,000 within a three-mile radius.
The acquisition follows Bain Capital and 11North’s recent $1.6 billion capital raise dedicated to investing in open-air retail assets through the jointly owned 11North platform. Combined with participation from Bain Capital Real Estate Fund III, the platform now has access to more than $2 billion of investable equity.
Since launching their joint venture in April 2024, Bain Capital and 11North have built a portfolio of 18 assets totaling more than two million square feet across six transactions. The partnership has deployed nearly $1 billion of capital and continues to pursue acquisitions in markets characterized by favorable demographics and strong retail productivity.
KEY QUOTES:
“Open-air, grocery-anchored retail continues to demonstrate some of the most compelling risk-adjusted fundamentals in the real estate landscape. We are acquiring high quality, irreplaceable assets in undersupplied markets at a basis that would be structurally difficult to replicate. The demographic quality across this portfolio, with nearly $132,000 average household income within three miles, is a direct reflection of where we choose to allocate capital. These assets were individually curated based on the team’s decades of investing across the country, coupled with a data driven foundation. With several billion of remaining dry powder, we will remain disciplined in how and where we invest.”
Brian Harper, Founder And Managing Partner, 11North Partners
“These assets align squarely with our strategy of building a portfolio of institutional quality, open-air centers, anchored by best-in-class necessity and lifestyle tenants that serve as cornerstones of their communities. Each asset was underwritten using our proprietary data-driven framework, which allows us to evaluate markets, submarkets, and individual assets with a level of precision and conviction we believe is differentiated in this sector. Following our successful joint capital raise in December, our platform is well capitalized to continue scaling with discipline, and partnering shoulder-to-shoulder with 11North gives us the retail investment and operational expertise to create lasting value for our investors and the communities these centers serve.”
Martha Kelley, Managing Director, Bain Capital Real Estate
