The Winchester Square project is an 11,464 sf, 8 unit commercial building located in Murrieta, California. Spirit’s affiliates acquired Winchester Square an 11,464 square foot, 8-unit shopping center located at the entrance of Silverhawk Master Planned Community on the busy intersection of Winchester Rd. (Hwy 79) and Murrieta Hot Springs Rd in Murrieta, CA. The project, which is part of a 150,000 SF Albertson’s center, is anchored by a 2,044 sf Panda Express. The over-performing store has sales in excess of $1.4M, compared to of $1.2M for an average Panda Express.
Spirit’s affiliates acquired the non‐performing note secured by the Property on October 22, 2012 in an all‐cash transaction. Spirit then foreclosed on the ﬁrst mortgage October 25, 2012, eliminating major risks involved with the foreclosure of real properties.
After title was secured, Spirit quickly leased up the three (3) vacant units over a span of 14 months at market rates, completed a lease restructure of Pacino’s Pizza in Suite 107 and move to keep the Salon in Suite 101 at a reduced rate for extended term.
Over a 14 month hold period, Spirit achieved a 40.5% IRR and 1.48x equity return multiple.