Miami Beach REIT sells 10 Gulf Coast shopping centers

North Miami Beach-based real estate investment trust Equity One Inc. agreed to sell 36 shopping centers — with a total of 3.9 million square feet of space — to Blackstone Real Estate Partners VII for $473.1 million. The agreement includes mortgage loan debt valued at $177.4 million in principal as of June 30.

The deal included 10 centers located along the Gulf Coast.

The shopping centers are predominately located in the Atlanta, Tampa and Orlando markets, with additional properties located in North Carolina, South Carolina, Alabama, Tennessee and Maryland. The portfolio generated net operating income of approximately $35.4 million and had an average occupancy of 91% for the past year ended June 30.

Equity One says it will use the proceeds from the sale to retire debt, fund its redevelopment pipeline, for future acquisitions and for other corporate purposes.

“Together with our $600 million purchase of Capital & Counties and other recent acquisitions, this sale significantly advances our strategic plan to concentrate our portfolio in the urban retail markets of New York, Miami, Boston, San Francisco and Los Angeles,” Jeff Olson, CEO, says in a press release.

Lazard Freres & Co. LLC acted as Equity One's financial adviser. Eastdil Secured acted as Blackstone's financial adviser.