SANTA BARBARA, Calif.--(BUSINESS WIRE)--A partnership between Pacific Retail Capital Partners and Silverpeak Real Estate Partners announced today that it has formed a joint venture with institutional investors advised by J.P. Morgan Asset Management as owners of the 154,900-square-foot Paseo Nuevo specialty Shops and Restaurants in Santa Barbara. Located on the Pacific Coast between Los Angeles and San Francisco, Paseo Nuevo has become an integral component of the downtown experience.
“The property is in a prime location in the heart of downtown, with excellent access for local customers and visitors, as well as its proximity to more than 30,000 students at the University of California, Santa Barbara and Santa Barbara City College,” said Steve Plenge, managing principal, Pacific Retail Capital Partners. “While the shops and restaurants continue to perform well, we believe there are opportunities to enhance the property, improve the experience and better serve guests and tenants.”
Opened in 1990, Paseo Nuevo features a charming, open-air setting surrounded by Spanish-style architecture, shade trees and fountains. It is anchored by two of California’s most poplar retailers, Nordstrom and Macy’s, with a variety of restaurants and shops such as Eureka! Gourmet Burgers, Sephora, Lush, Victoria’s Secret, Kitson, Aveda, Lorna Jane and others that appeal to its diverse customer base.
“The partnership intends to work with the city to enhance and update the 20-year-old property through aesthetic renovations over the next 18 months,” explained Gary Karl, executive vice president, Pacific Retail Capital Partners. “A refocused lease plan will also be executed to ensure our offerings meet the needs of local customers, as well as the 8.2 million day trippers and overnight visitors our area serves annually.”
In 2012, Paseo Nuevo went through an initial round of renovations including updating the center court, rebuilding the fountain, installing new monument signage and working with an architectural design firm on aesthetic enhancements. “This next round of renovations will be seamlessly integrated with city planning initiatives, revitalizing the guest’s downtown experience to solidify the property as the crown jewel of the downtown shopping district,” added Constantine Tujios, senior vice president of Silverpeak Real Estate Partners.
Gensler has been engaged to create the new design and will take into account the city’s vision for the downtown evolution as detailed in its master plan.
Pacific Retail Capital Partners oversees all operations at Paseo Nuevo as well as its renovation. The company has significant experience in the management, leasing and repositioning of large regional malls. BMW Realty Advisors, led by co-founder and principal Bob Baker, joins as an investor in the project and will handle all leasing efforts. To learn more about Paseo Nuevo visit http://www.paseonuevoshopping.com/.