June 17, 2025
Continental Realty Corporation Expands Into Arizona Retail Market With $54.3 Million Acquisition Of Sundance Towne Center
BALTIMORE, MD (June 17, 2025) – Continental Realty Corporation (CRC), a Baltimore-based real estate investment and management company active in 14 states with more than $4 billion of Assets Under Management (AUM), has expanded into the Arizona retail market with its $54.3 million acquisition of Sundance Towne Center, a 203,525 square foot regional power center located in the Phoenix Metropolitan Statistical Area (MSA). Located at 466 South Watson Road in Buckeye, the asset features nearly 50 retailers and restaurants, including PetSmart, Boot Barn, and Bealls Outlet, and was just over 94 percent leased at the time of the transaction. Shadow-anchored by Walmart Supercenter and Lowe’s Home Improvement, it is strategically located within the highly populated Yuma Road and Watson Road corridor. Michael Hackett, Jimmy Slusher, Ryan Schubert, and Zach Aulick of CBRE represented the seller, Shin Yen Management in this transaction. Since the start of 2021, CRC has acquired $900 million worth of retail real estate.
The acquisition follows CRC’s recent entry into the Miami-Dade County, Florida retail market with its $87.5 million acquisition of CityPlace Doral, a 235,000 square foot grocery-anchored and entertainment-oriented destination shopping center in Doral. CityPlace Doral was purchased with funds from Continental Realty Opportunistic Retail Fund I, LP (CRORF), a closed-end private equity fund, along with related co-investment vehicles for which approximately $323 million was raised. Since the inception of CRORF in 2021, CRC has acquired 15 retail properties within this portfolio comprising approximately 3.75 million square feet of space. Since 2012, CRC has raised nearly $1.3 billion in equity for retail and multifamily investments across seven real estate funds and multiple associated co-investments. The company also entered the Utah retail market last fall with its purchase of The Crossroads of Taylorsville, a nearly 630,000 square foot super-regional shopping center positioned south of Salt Lake City. Last year, CRC acquired three retail shopping centers, accounting for more than 900,000 square feet of space.
“Sundance Towne Center is an institutional-quality asset and the perfect entry point for our expansion into the rapidly growing Maricopa County market which ranks third in the U.S. for the newest homes and apartments under construction,” said Josh Dinstein, CRC’s Senior Vice President, Acquisitions. “The center is well leased, with a diverse mix of best-in-class and high-performing restaurants and retailers. It is shadow anchored by some of the best retailers in the nation. The strategically located center aligns with our long-term investment strategy of acquiring irreplaceable assets with compelling retailers in affluent and rapidly growing residential corridors.”
Entrenched in robust retail corridor with significant residential pipeline
Delivered in 2008 and located on a 32-acre site at the intersection of Watson Road and Interstate 10 (73,000 vehicles per day), Sundance Towne Center contains a strong complement of national and local retailers, professional services, fast-casual dining, and quick serve restaurants, including AutoZone, BMO Bank, Cracker Barrel, Dollar Tree, Dunn-Edwards Paints, Mattress Firm, and Peter Piper Pizza. The immediate area includes a significant pipeline of residential housing, industrial, and data center developments. Maricopa County is the fourth most populous county in the nation, trailing only Los Angeles (California), Cook County (Illinois), and Harris County (Texas).
Sundance Towne Center features roadside visibility from Watson Road (nearly 40,000 vehicles per day) and Yuma Road (nearly 11,000 vehicles daily), with 12 access points and a 65-foot-tall tenant pylon sign. The center is located less than 30 miles west of Phoenix.
More than 80,000 people, with an average household income approaching $120,000, reside within a five-mile radius of Sundance Towne Center, with a daytime population of nearly 250,000 workers within a three-mile radius. This includes businesses such as Amazon, Bank of America, Carvana, Chewy, JPMorgan, State Farm Insurance, USAA and Wells Fargo, as well as other biotech, healthcare, and manufacturing companies.
More than 7,600 homes are under construction within a five-mile radius of Sundance Towne Center and more than 30,000 new homes are planned. This activity includes developments such as Verrado, which expects to add more than 11,000 new homes; Westpark, with more than 3,000 homes; and Monte Verde, with nearly 2,000 homes.
Substantial upside potential with available pad sites and inline spaces
According to Dinstein, CRC’s interest in the property was fueled by the opportunity to capitalize on proven tenant demand in one of the country’s fastest growing markets, and by the potential to lease several vacant inline spaces. The market research company Placer.ai, which analyzes foot traffic at retail venues, reports that 12 Sundance Towne Center tenants currently perform in the 80th percentile or better for visits per square feet of space in the core-based statistical area (CBSA).
Dollar Tree is the top-performing store in the local CBSA, fast-casual restaurant chain Carl’s Jr. is the top-performing location within Arizona for visits per square foot, and shadow-anchor Lowe’s Home Improvement ranks in the top 10 percent for visits in the local market.
“CRC’s in-house leasing team intends to energize and strengthen the current tenant mix and attract new uses suitable for the market,” Dinstein said.
CRC also plans to invest in a property enhancement strategy designed to improve tenancy and customer experience.
Maricopa County ranked first for population growth and top market for talent attraction
Arizona earns its nickname “Valley of the Sun” for its climate, which averages 300 days of sunshine annually, with an average daily temperature of 75 degrees. The population in the metro area has increased from 375,000 people in 1950 to more than five million residents today. Maricopa County is considered the fastest-growing county in the nation, according to the United States census. Nearly 70 percent of all residents own a home, and the median home price is approximately $475,000. Population is expected to grow an additional 15 percent by 2028.
Phoenix’s financial hub is anchored by Bank of America, Charles Schwab, JPMorgan Chase, and Wells Fargo, and it supports more than 210,000 jobs. Nearly 300,000 people work in the healthcare industry, 175,000 work in manufacturing positions, and 140,000 are employed in the distribution sector. Labor market data firm Lightcase ranked Maricopa County as the top market for talent attraction, and the Wall Street Journal ranked Phoenix Sky Harbor International Airport as the nation’s best.
The Phoenix MSA is the second fastest-growing metropolitan area in the country and currently ranks 10th in total population. Though the area is generally regarded as a retirement destination, its population growth is driven by net migration from California, Texas, and Washington State.
According to the Buckeye Economic Development Department, the city currently has a population of nearly 120,000 people, with an annual growth rate over the past five years of nearly 4.5 percent and a nearly 27 percent total growth rate. The population is expected to double, to nearly 300,000 residents, over the next 15 years. Buckeye’s entitled land can support a build-out population of more than one million people, which would position it as the second most populous city in Arizona, following Phoenix.
Earlier this year, semiconductor manufacturing company Taiwan Semiconductor Manufacturing Co. (TSMC) revealed plans to build its third chip factory in the Phoenix area, a decision that will create more than 25,000 direct construction, manufacturing and indirect jobs to the local area and increased the company’s total investment to $65 billion. The company’s first Arizona plant began manufacturing operations this year, and its second site is expected to start producing products in 2028.
Strategically positioned close to highways and employment centers
Sundance Towne Center is adjacent to Interstate 10, which was recently widened, and is approximately 33 miles from Phoenix Sky Harbor International Airport, which serves more than 120 domestic and 24 international destinations. Metropolitan Phoenix is considered the state’s economic engine, accounting for two-thirds of Arizona residents and three-fourths of the state’s labor economy. Phoenix metro is among the most rapidly expanding high-tech job markets in the nation and was ranked in the top 20 for high tech employment growth by CBRE.
The region has three professional sports teams, 20 museums, several live concert and entertainment venues, 300 golf courses, 120 parks, and outdoor recreational activities – including skiing and snowboarding, whitewater rafting, and hiking trails. Area universities include Maricopa Community Colleges (nearly 100,000 students), Arizona State University (nearly 80,000 students), and Grand Canyon University (approximately 30,000 students).
According to the Greater Phoenix Economic Council, the region added 40,000 jobs in 2024, bringing total employment to 2.5 million people, and showed the largest decrease in unemployment rates among major metropolitan areas. The University of Arizona projects 2025 regional job growth to be about two percent in 2025.
“Sundance Towne Center presented the rare opportunity to invest in an institutional-quality asset located in an economically vibrant and rapidly growing section of the country, and one which delivers a strong foundation for additional acquisitions in the greater Phoenix market,” said CRC’s CEO, JM Schapiro. “We have been extremely diligent in our search for a retail property in this market with an extremely high-performing tenant mix, while offering substantial upside potential to add value with sound leasing decisions.
“The region has experienced significant conversion of farmland and vacant land into residential housing, data centers, and warehouse development in recent years,” Schapiro added. “Sundance Towne Center stands out as a model of success in a competitive market and has demonstrated the ability to meet the shopping and dining requirements of local consumers and businesses, given it diverse range of shopping and dining options.
“We intend to immediately improve the tenant and customer experience with a series of property enhancements and upgrades, immerse our team into the local community, collaborate with local stakeholders, and invest the proper amount of financial and personal resources to realize this asset’s full potential,” Schapiro said.
Headquartered in Baltimore, Maryland and founded in 1960, Continental Realty Corporation is a full-service commercial real estate and investment company focused on acquiring and operating retail and multifamily properties. The privately held firm owns and manages a diversified portfolio of retail centers consisting of approximately eight million square feet of commercial space and more than 10,000 apartment homes across 14 states, with a portfolio value exceeding $4 billion. For additional information, visit www.crcrealty.com.
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