The Crossing at Tahoe Valley
South Lake Tahoe, California
In late 2014, Arch Anchor, in partnership with Sacramento-based Sutter Capital, acquired a well-known and highly visible commercial property in South Lake Tahoe (formerly known as The Factory Shops at the Y). Though once well-regarded, the real estate asset had fallen into severe disrepair.
Originally constructed in 1973 and developed as an outlet mall, the historically charming and attractive center had since become a relic, experiencing high vacancy and significant deferred maintenance. The partnership immediately recognized its potential value, given its premiere location at the entrance of South Lake Tahoe (the intersection of Highways 89 & 50).
The partnership issued a full re-brand of the center and worked closely with the community and various stakeholders to identify an attractive redevelopment of the property that would resonate with the local market while also create the most value for the partners and investors.
After a multimillion dollar, geographically specific renovation, the partnership unveiled The Crossing at Tahoe Valley, a lifestyle shopping center and destination for locals and visitors for upscale, daily needs, wellness and dining-related retail. The Crossing’s new design featured an institutional quality modern mountain buildout, new exterior facades featuring corten steel elements and a large outdoor 4,000 SF communal plaza, seating, fire-pits and an elevate stage which attracted live events and daily live music performances. The once nearly vacant property was completely leased to a best-in-class tenant line-up including other restaurants, eateries, health/wellness services as well as several notable boutique shops.
Once the business plan was fully completed, the property was sold at an attractive return for all parties, as well as providing the South Lake Tahoe community a newly revitalized trophy shopping centers that can be enjoyed again for many years to come.
TYPE: Retail Shopping Center
SIZE: 50,000 RSF
ACQUISITION PRICE: $4.3M
ACQUISITION DATE: December 2015
SALE PRICE: $14.6M
SALE DATE: January 2020
