Kohan Retail Investment Group is shifting gears from Raleigh’s struggling Triangle Town Center to small-town retail, snatching up Rocky Mount Mall. The strategy makes sense – Triangle Town Center just sold for a measly $33.25 million, down from $174 million in 2016. Ouch. Now renamed Golden East Crossing, the Rocky Mount property fits Kohan’s new playbook: buy low in smaller markets with less competition. The real story? It might just work in towns where Amazon isn’t king.
While Triangle Town Center in Raleigh changes hands in a massive $700 million deal, its former owner Kohan Retail Investment Group isn’t sitting idle. The New York-based investment firm has shifted its focus to smaller markets, snatching up the Rocky Mount Mall, now known as Golden East Crossing, in 2023.
Talk about a change of pace. After selling Triangle Town Center for a fraction of its former glory – just $33.25 million compared to its $174 million price tag in 2016 – Kohan’s betting on small-town retail. And honestly? It might not be such a crazy move. Rocky Mount shoppers have fewer alternatives, which could mean more stable foot traffic for brick-and-mortar stores. Their proactive maintenance plans ensure properties remain attractive and safe for shoppers.
Small-town retail may be Kohan’s smartest play yet – fewer shopping alternatives could mean steadier foot traffic in places like Rocky Mount.
Meanwhile, Summit Properties USA is taking the reins at Triangle Town Center, with grand plans to transform the Raleigh mall into a leisure and entertainment destination. They’re already filing preliminary subdivision plans, probably hoping to avoid the same fate that led to Kohan’s bargain-basement purchase price. The acquisition showcases a growing trend of foreign retail investment in American malls.
Let’s face it – malls aren’t what they used to be. Online shopping has changed the game, and traditional retail centers are scrambling to adapt. But Kohan’s strategy is clear: buy low, revitalize, and profit. They’re particularly fond of underpriced properties, managing their risk by spreading investments across different markets through several LLCs. The company’s ongoing strategy focuses on revitalizing underperforming retail spaces through strategic investments.
The contrast between these two properties couldn’t be starker. Triangle Town Center, a 2002 creation in North Carolina’s capital city, faces fierce competition in a saturated market. Golden East Crossing, on the other hand, serves a smaller, more captive audience. It’s like comparing apples to oranges – if apples were fighting against Amazon Prime and oranges were the only game in town.
For Rocky Mount, Kohan’s investment could mean new jobs and economic opportunities. But success isn’t guaranteed. The company’s track record of buying distressed properties shows they’re not afraid of a challenge.
Whether their small-town bet pays off remains to be seen, but one thing’s certain – they’re not done reshaping retail landscapes across America.