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Northridge Plaza Shopping CenterOlathe, Kansas
In 2000, Block Fund Principals developed a pioneering 202,000 square foot retail center in the emerging Olathe submarket of Kansas City with national tenants including Dick's Sporting Goods, Borders Books and Old Navy. Our investment sales team sold the property in 2007 with a total IRR of 28.9% over the five-year hold period.
In the late 1990's Block Fund Principals identified an opportunity to develop a large retail center in Olathe, Kansas at the intersection of 119th and I-35. Demographic modeling indicated that employment growth and construction of new housing to the southwest of Kansas City would create significant demand for retail developments.
Block Principals saw an opportunity to lead retail development in the Olathe market. By entering the market early, securing land with a prime location and building a Class A retail center, Block Principals felt they could attract large national retailers to the emerging submarket. The Principals' national network of relationships provided the project with numerous potential tenants.
As with any development, the project faced significant entitlement risk as the city of Olathe was early in its formulation of a master development plan. Block's strong reputation as Kansas City's leading full-service commercial real estate company and Block's history of innovative, successful developments allowed the Principals to quickly secure entitlements and begin construction. Leveraging the expertise of Block Construction Services the project was successfully completed on time and on budget.
The development project was completed in 2002 and the center opened with national retailers including Dick's Sporting Goods, Borders Books and Old Navy. The property was sold in 2007 with a total IRR of 28.9% over the five-year hold period.
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