PropUp Group Acquires ShopRite-Anchored City Center in White Plains for $50M; JLL's Kevin O'Hearn, Jose Cruz and J.B. Bruno Lead Deal

PropUp Group has acquired City Center, a 361,948-square-foot, ShopRite-anchored retail property in downtown White Plains, New York, for $50 million, with JLL Capital Markets arranging both the sale and $39.2 million in acquisition financing from a regional bank.

JLL represented the seller, Kite Realty Group Trust, in the transaction. The JLL Capital Markets Investment Sales and Advisory team was led by Kevin O'Hearn, J.B. Bruno and Jose Cruz.

Property Overview: A Multi-Level Urban Retail Center

City Center, located at 5 Mamaroneck Ave. in the heart of White Plains, is a multi-level retail center originally built in 2003. The property was approximately 91.5% leased at the time of sale, with roughly 30,650 square feet of vacant space available, including a former Barnes & Noble unit with ground-floor visibility and plaza access.

The center is anchored by ShopRite and benefits from a 154,000-square-foot Target on the lower level and a 17,500-square-foot White Plains Performing Arts Center on the top floor, both of which serve as shadow anchors. Additional anchor and junior anchor tenants include Burlington, Nordstrom Rack, New York Sports Club and Apple Cinemas, a 15-screen movie theater. Inline tenants include Morton's Steakhouse, Buffalo Wild Wings, Cold Stone Creamery, Bonchon and Bank of America, among others.

The property also includes 24 affordable apartment units and is part of a larger mixed-use complex that encompasses two luxury residential towers comprising 528 apartments and condominiums, as well as the 365-unit Ritz-Carlton Condominium across the street. Ground-level inline tenants have street-level entrances, while anchors and junior anchors are accessed from an atrium lobby connected to a city-owned parking garage.

City Center draws approximately 3.4 million annual visitors with an average dwell time of 64 minutes. At a sale price of $50 million across roughly 362,000 square feet, the transaction implies a price of approximately $138 per square foot — a basis that is notably below replacement cost for comparable vertical mixed-use retail in Westchester County's core market.

Location and Market Context

White Plains serves as the commercial hub of Westchester County, with a resident population of approximately 59,000 and a daytime workforce population of 75,000. The property sits within walking distance of the White Plains Metro-North Railroad station, which offers a 38-minute commute to Grand Central Terminal in New York City, and is positioned one mile from Interstate 287.

The surrounding area draws from affluent Westchester communities including Scarsdale, Rye and Port Chester. Average household income within a five-mile radius exceeds $246,000. The downtown submarket has seen significant revitalization activity in recent years, with approximately 7,000 multifamily residential units currently under construction, approved or proposed.

"White Plains is a phenomenal submarket and only getting better with more luxury residential and mixed-use developments underway," O'Hearn said. "This led to a tremendous response for this grocery anchored, multi-level urban asset, and we're excited to see where the buyer takes it."

Bruno added, "The strong fundamentals within the retail sector are creating unprecedented competition amongst buyers and lenders for well-located, institutionally maintained, properties such as City Center."

Kite Realty's Disposition Strategy

For Kite Realty Group Trust, the City Center sale represents a non-core disposition consistent with the company's broader capital recycling strategy. Kite had identified City Center as part of a 2026 disposition pool that was increased to $145 million, with the asset expected to transact before year-end. The $50 million in gross proceeds from the sale were directed toward share repurchases and addressing near-term debt maturities, including senior unsecured notes due in 2026.

The disposition aligns with Kite's portfolio strategy, which has tilted toward open-air, grocery-anchored strip and lifestyle centers over more operationally intensive multi-level urban retail assets. The company has executed approximately $474 million in asset sales in recent years alongside sizable share repurchases. City Center, characterized as a complex vertical asset, fits the profile of a property where elevated capital expenditure and leasing complexity would be less consistent with that strategy.

Upside Potential for PropUp Group

For PropUp Group, the acquisition presents a leasing opportunity. The approximately 30,650 square feet of vacant space — including the former Barnes & Noble unit with prime ground-floor visibility — offers near-term leasing upside in a submarket where residential density is growing and foot traffic remains strong.

JLL Capital Markets is a full-service global provider of capital solutions for real estate investors and occupiers, with more than 3,000 specialists worldwide and offices in nearly 50 countries.