Northmarq arranges $155M sale, $96M acquisition financing of dominant West Maui retail portfolio
Lahaina Cannery | Photo source: Northmarq
LAHAINA, Hawaii — Northmarq’s Los Angeles Investment Sales team led by Bryan Ley and Tim Kuruzar, in collaboration with the firm’s Newport Beach Debt + Equity team led by Joe Giordani, Alex Kane and Matt Radich, successfully arranged the $155 million sale and $96 million acquisition financing of a two-property retail portfolio totaling more than 281,000 square feet in Lahaina, Hawaii.
The portfolio consists of:
• Lahaina Cannery: 1221 HI-30, Lahaina, Hawaii | 145,839 SF
• Lahaina Gateway: 325 Kaewe St., Lahaina, Hawaii | 136,045 SF
An affiliate of Westlake Village based U.S. Realty Partners led by Jay Kerner was the seller. The property was acquired by 11North Partners.
Northmarq co-brokered the deal with Jamie Brown of Hawaii Commercial Real Estate.
“Lahaina Cannery and Lahaina Gateway are the top grocery anchored assets in West Maui and prove that they are the dominant assets on the Island with their tremendous productivity, tenant names and services that they provide to the local community and tourists,” Ley said. “This very competitive sale further demonstrates the voracious demand for marquee grocery anchored centers with further upside, in high barrier to entry markets with limited competition.”
Northmarq arranged the permanent-fixed financing on behalf of the borrower through a relationship with PNC Bank.
“We ran a very competitive process across the lending landscape, and PNC delivered an exceptional execution for the borrower,” Giordani said. “The transaction highlights that banks continue to be highly competitive for well-structured, institutional-quality opportunities, particularly when they can pair attractive pricing with the flexibility of a customized, non-recourse financing.”
Situated directly across from one another at one of West Maui's busiest commercial intersections, the properties serve as a dominant retail hub for both residents and visitors.
Together, the portfolio attracts more than 5 million customers annually and benefits from West Maui's tourism-driven economy, rebuilding momentum and continued population growth.
Lahaina Cannery is located along Honoapiilani Highway in the heart of Lahaina and attracts approximately 3 million customer visits annually. Positioned within one of West Maui's most active commercial corridors, the property serves as a key destination for residents and visitors alike.
The center is anchored by Safeway and Longs Drugs and is more than 95% leased. Additional tenants include Starbucks, ABC Stores, Bank of Hawaii, First Hawaiian Bank and Jersey Mike’s, creating a diverse mix of grocery, pharmacy, banking, dining and daily-needs retail offerings.
Over the past decade, the property has evolved into an established community gathering place and retail destination. Its strong tenant roster, high visibility and strategic location have established Lahaina Cannery as a premier shopping center in West Maui.
Lahaina Gateway is positioned at the gateway to West Maui and attracts approximately 2.1 million customer visits annually.
Anchored by Foodland Farms, Ross Dress for Less and Ace Hardware, the center offers a strong mix of national, regional and local retailers. Other notable tenants include O'Reilly Auto Parts, T-Mobile, Central Pacific Bank and Maui Powerhouse Gym.
The center's combination of necessity-based retailers, service-oriented businesses and local operators provides an essential shopping and service destination for the surrounding community.
About 11North Partners
11North Partners is a real estate investment firm specializing in retail assets across diverse geographies and formats, with a focus on quality acquisitions and long-term value creation. The company combines institutional backing from partners including Bain Capital with deep industry expertise to deliver superior risk-adjusted returns. Founded on principles of disciplined execution and data-driven performance, 11North maintains a portfolio of market-leading retail properties.
About U.S. Realty Partners
U.S. Realty Partners is a privately held real estate investment company specializing in the acquisition, asset management, development, and redevelopment of quality retail shopping centers located in strategic metropolitan areas of the western United States. We focus on anchored retail properties in markets with strong demographics and achieve competitive risk adjusted returns for our investors and partners. Our current portfolio consists of over 2 million square feet, and we are seeking additional properties in mature submarkets throughout the western United States as a principal and in partnership with institutional investors, family offices, and individual investors.
Meet our team
Northmarq is one of the largest privately held commercial real estate firms in the United States, combining a nationwide presence with deep local expertise. With more than 50 offices across the country, we provide a full suite of debt, equity, investment sales, loan servicing and fund management solutions for a comprehensive range of property types. Our unique structure allows us to connect clients with the best opportunities, yet be nimble enough to ensure access to every expert across our company. The firm manages a loan servicing portfolio of over $80 billion and has completed $91.3 billion in transactions over the past four years. At Northmarq, collaboration fuels results, helping clients achieve success in every market, nationwide.
