PREIT has sold a rezoned parcel at its Moorestown Mall property along Route 38, with plans now calling for 375 new apartments as part of the site’s ongoing redevelopment. — Courtesy: PREIT
By Joshua Burd
Moorestown Mall owner PREIT has completed its sale of two key parcels at the site, including one that’s slated for 375 apartments as part of an ongoing redevelopment plan.
The real estate investment trust, which is based in Philadelphia, said Bel Canto purchased the multifamily site for about $12 million. The company Tuesday also said it closed on the sale of an outparcel at the Moorestown property to Four Corners Property Trust, for $2.4 million, while it expects to close on six additional outparcels for $22 million in the coming weeks.
The deals follow a rezoning agreement with officials in the Burlington County town that will allow it to create a mixed-use, sustainable district at the 84-acre property along Route 38.
“We are keenly focused on continuing to raise capital to improve our balance sheet as we simultaneously drive operational enhancements, improving the overall quality of our offering,” said Joseph F. Coradino, chairman and CEO of PREIT. “The closing of the Moorestown land sale evidences the power of the portfolio and the real estate we have aggregated.”
In announcing the deals, the REIT said it’s also paying down debt as part of the ongoing repositioning plan. The sale of the Moorestown Mall land follows a similar deal at the Exton Square Mall in Exton, Pennsylvania, which paved the way for about 350 units.
The mall owner, which has reorganized after filing for Chapter 11 bankruptcy protection in 2020, detailed the proposal as part of a larger strategy for its portfolio, in a sector that has been especially hard-hit by the pandemic and the rise of e-commerce. As recently as last year, its plans in Moorestown called for up to 1,065 multifamily units, including a 20 percent set-aside for affordable housing, and a 112,000-square-foot hotel.