Real Estate

DRA Advisors Sells Grocery-Anchored Shopping Center

Grand Union Supermarket at Freedom Plaza. Image courtesy of Octave Holdings and Investments

Octave Holdings and Investments LLC has entered the New York retail market with the acquisition of Freedom Plaza, a 197,219-square-foot grocery-anchored shopping center in Rome, N.Y., from DRA Advisors.

The price of the transaction was not disclosed. The purchase, made through Octave Realty Fund IX LLC, was Octave’s sixth acquisition in 2023. In May, the Alpharetta, Ga.,-based real estate investment firm announced two acquisitions—Lakeland Plaza, 301,766-square-foot grocery-anchored shopping center in Cumming, Ga., and Maple Hill Pavilion, a 276,397-square-foot power center and Target shadow-anchored center in Kalamazoo, Mich.

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Located at the southwest corner of Erie Boulevard and James Street, Freedom Plaza is 96 percent occupied with a strong lineup of national tenants including Grand Union Supermarket, Marshall’s, Hobby Lobby, Pet Supplies Plus, Dollar Tree and T-Mobile.

DRA Advisors acquired the shopping center in October 2016 in a joint venture with DLC Management Corp. that purchased a portfolio of 16 retail centers totaling approximately 4.9 million square feet from DDR Corp. for $390 million.

Octave’s retail strategy

Sridhar Marupudi, Octave’s CEO, said in a prepared statement Freedom Plaza is the privately held firm’s first purchase in New York. He said the company was excited to add such a great power center to its portfolio. The company owns, operates and manages a portfolio of more than 48 commercial real estate assets in 13 states valued at approximately $600 million, including retail, hospitality, multifamily, office and recreation properties.

Scott Henard, Octave’s EVP & director of acquisitions, said in prepared remarks Freedom Plaza aligns with the firm’s strategy to acquire dominant grocery-anchored and shadow-anchored power centers. Henard noted Freedom Plaza has all national tenants, including its newest addition—Hobby Lobby, which signed a 10-year lease. He said there is additional interest in the center’s remaining vacancy and expects Freedom Plaza to be a strong performer for the firm.

DRA Advisors deals

Freedom Plaza is not the only recent disposition for New York-based DRA Advisors. Earlier this month, the firm sold Chestnut Court, a 172,697-square-foot retail center in Darien, Ill., to First-Tek Inc. DRA Advisors had owned the asset since 1998, when it acquired Chestnut Court for $16.1 million, according to CommercialEdge data. In November, DRA Advisors sold Four Flaggs, a 326,084-square-foot retail center in Niles, Ill., to Nassimi Realty for $20.5 million.

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