Waianae Mall sought by California real estate investment company

WAIANAE—A West Coast real estate investment trust entered into a purchase agreement for Waianae Mall, making it the shopping center’s second owner in five years. TNP Strategic Retail Trust Inc., a partner of Thompson National Properties, LLC, both based out of California, will acquire the mall if the deal comes to a close.

In February, TNP reported that it has agreed to buy the 170,275-square-foot retail center, which features 11 buildings and is also the only non-strip shopping center on the Waianae coast that occupies almost 10 percent of commercial land in Waianae.

“I don’t mind that a California company is buying the place, as long as they can bring in updated shops and more discount stores to make it more appealing,” said Waianae resident Rosemary Verano.

TNP is a public company that was formed in August 2009 by Thompson National Properties, LLC to invest in retail property specifically in western states. TNP will be purchasing the property for $25.7 million including any existing debt on the property. The shopping center is currently owned by an affiliate of L.A.-based 3D Investments, which purchased the mall in 2005 for $19 million.

Businesses already using the retail space include Longs Drugs, Starbucks, Jamba Juice, and Fantastic Sams. Steve Corea, senior vice president of acquisitions for TNP, reported that since the mall has no other real competitors with quality occupants using the space, it made the mall an appealing deal.

While TNP will face the challenge of accommodating to the residents of Waianae and the financial struggles many are dealing with, the California company has hopes of pulling more people out to Waianae and to the mall in order to produce more shoppers and more revenue for businesses with the Disney resort coming to Ko Olina at Kapolei late next year.

Verano, 50, says that even with big name businesses occupying the space, there is a lack of customers walking through the entire mall because stores are spread out too widely.

“I wouldn’t mind having a grocery store at the mall, but also wouldn’t mind if the mall was a place to bring in tourists because that means more jobs for the local people on this side of the island,” said Verano. “It would be good if mainland businesses came in as long as they weren’t competitive to local businesses in the mall.”