Cohen & Steers Income Opportunities REIT (CNSREIT) completed the acquisition of Springs Plaza, a 195,000‑square‑foot grocery‑anchored open‑air shopping center in Bonita Springs, Florida, for $195 million. The purchase was executed through a programmatic joint venture with Phillips Edison & Company (PECO), marking CNSREIT’s fourth partnership with PECO and its eighth open‑air property acquisition overall.
The joint‑venture structure allows CNSREIT to provide capital while PECO supplies its long‑standing expertise in owning, operating, and redeveloping grocery‑anchored neighborhood centers. Under the programmatic agreement, the parties share ownership, operating responsibilities, and future redevelopment upside, creating a recurring partnership that has proven successful in prior transactions.
Springs Plaza sits at the busiest intersection in Bonita Springs, a rapidly expanding community between Naples and Fort Myers. The center is 99 % occupied, anchored by ALDI and also home to Ross, Ollie’s, and Athletica Health & Fitness. More than 1,100 new housing units are under construction within a five‑mile radius, and the 3‑mile trade area is projected to grow 3.8 % over the next five years, underscoring strong local demand for grocery‑anchored retail.
PECO’s Q3 2025 earnings reinforced the strategic fit of the deal. The company reported earnings per share of $0.20 versus a consensus of $0.16, a beat of $0.04 or 25 %. Revenue reached $182.67 million against expectations of $170.79 million, a $11.88 million or 6.96 % outperformance. The earnings beat was driven by disciplined cost management, high occupancy, and the stable cash flow of the grocery anchor, while the revenue lift reflected incremental sales from the strong tenant mix and the growing local population. PECO also raised its full‑year guidance, signaling confidence in continued operational strength.
James S. Corl, CEO of CNSREIT, said the acquisition “positions Springs Plaza at the northern gateway to the Naples area, a high‑traffic corridor that will support our portfolio’s income generation and diversification.” The addition of a high‑occupancy, grocery‑anchored asset strengthens CNSREIT’s focus on stabilized, income‑producing properties and expands its geographic footprint in a market with robust residential growth.
The transaction reinforces PECO’s strategy of partnering with capital‑rich operators to accelerate growth in grocery‑anchored neighborhood centers. By combining CNSREIT’s investment capital with PECO’s operational expertise, the joint venture is poised to capture the tailwinds of population expansion, new housing development, and the enduring resilience of grocery‑anchored retail. The deal aligns with industry trends that show open‑air centers achieving the highest occupancy rates in 16 years, providing a solid foundation for long‑term cash flow.
Together, CNSREIT and PECO have created a partnership that leverages capital, expertise, and a growing market to deliver stable income and potential upside from future redevelopment, positioning both companies for continued growth in the evolving retail landscape.
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