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Solar Center not for sale, owners say
(by Mike Klimko - August 27, 2008)
Solar Center not for sale, owners say
By MIKE KLIMKO
The owners of the Solar Center shopping center in Solon do not intend to sell, even though a buyer came forward this month, Cresco Real Estate broker and Solar partner Simon Caplan said.
Discussions of the purchase of any type of property, including shopping centers, are bound to take place at any time, Mr. Caplan said. He's not previously aware of recent discussions involving Solar, he said.
There were discussions between a broker representing Solar and a developer representing Regency Centers, with offices in Cincinnati, over a profit-sharing stake involving a sale, according to a letter submitted by Solar Center owners last week to City Council.
Solar owners had an offer last year to be part of a $900 million redevelopment plan by Stark Enterprises, of Cleveland, southeast of the intersection of Aurora (Route 43) and SOM Center (Route 91) roads. However, Stark decided not move forward with the plan.
"I am not familiar with Regency, exclusively of the letter that was given to me on Monday afternoon," Mr. Caplan said of letter that also was provided to Solar Center partner James Perlick.
"I had never heard of them before. The letter came out of the blue. It was given to me as something given to Jim Perlick. I don't know how we got the letter. The Solar Center is not for sale. It's not been marketed for sale," Mr. Caplan said.
"Looking at the letter, Regency is a preferred developer for Giant Eagle. They've developed other stores for them. They wanted to throw in their 2 cents. I believe that's all there is to it."
The letter appeared at an opportune moment, according to Councilman John T. Scott, who said it led him to re-evaluate his view of a Solar rezoning request. Council voted 4-3 to place the rezoning on the November ballot.
In the letter, Regency Centers outlined a plan to buy the shopping center, grant profit sharing to the current owners and construct a new free-standing Giant Eagle store of 97,000 square feet.
Giant Eagle, which has five years remaining on the lease as anchor tenant at Solar Center, is looking at expansion.
A possible moved by Giant Eagle to a site adjacent to the Coral Co.'s redevelopment proposal for the SOM Centre shopping plaza area has been discussed. Coral has an option to buy 10 acres owned by University Hospitals between the Erico manufacturing plant and Sedlak Interiors on Solon Road. Coral passed out bags with the Giant Eagle logo during Solon Home Days.
Redevelopment of the SOM Centre plaza and adjacent property totaling 90 acres contains Carter Lumber, Sears Grand and the Marc's stores, along with 70 homes in the Sharondale Drive neighborhood north of Bainbridge Road.
Developers Diversified, of Beachwood, owns a building on the site. Developers Diversified Chief Executive Officer and President Scott A. Wolstein is a financial backer and partner of Coral's Central Park proposal.
"Offer enough money, and everything is for sale," Mr. Caplan said. "Put it in the context of the Coral project. I don't believe Marc's and Sears Grand were for sale," he said.
"The 22 acres next to Sedlak's had a sign. That property was being marketed for sale. I'm sure all of the 70 homes in Sharondale were not for sale. Maybe five were for sale. Among the commercial properties, some might have been for sale, but not all of them," Mr. Caplan said.
"In the industrial district, where I am more familiar, you'll see signs in multi-tenant buildings available for lease or to get tenants. There's a big turnover," he said.
"Multi-tenant buildings like the office building at 91 and Solon Road always have signs on them. The only way Carter Lumber would be for sale would be if Carter wanted to get out of business in Solon."
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