Settler's Market Sold

Thursday, February 03, 2011

Settler’s Market, home to Trader Joe’s and Baker’s Crust, was purchased Monday by Federal Capital Partners for $13.25 million and will be developed in a joint venture with Westmoreland Partners.

The partially developed property is great opportunity, according to Howard Biel, a partner in Westmoreland Partners. Biel also works as the senior managing director in the Washington, D.C. office of Charlotte, NC-based Faison. Best known for its shopping centers, Faison has developed over 40 million square feet of retail, residential and commercial property since it started in the 1960s.

Though other news sources reported that Federal Capital Partners bought the property for Faison, Settler’s Market is actually going to be a joint venture between FCP and Westmoreland Partners, Biel clarified. Westmoreland Partners (made up of two executives at Faison) will use Faison on the project.

FCP and Westmoreland have partnered successfully on a recent project in Maryland, and Biel says the companies work well together because FCP has a great reputation and experience developing residential property and his company has expertise with retail development.

Biel says some friends had suggested Settler’s Market as a good location. It’s a “remarkable situation,” he says, not only because it’s partially built but because it’s “the '100 percent intersection' within James City County,” a term that means the most important corner where two major streets cross.

“This is a great opportunity from which retailers can do excellent business,” according to Biel.

It’s likely that the two firms will go to the county and apply to scale back a bit on the density for the master-planned area, and Biel says so far the county has been very helpful and encouraging.

According to Senior Vice President Jay Joseph of Harvey Lindsay Commercial Real Estate, who represented the seller in the deal, “it’s a wonderful location, the last best corner in the county for that type of project. I think it will be a success, and you’ll likely see building there before the year is out.”

James City County Economic Development Director Russell Seymour  expects the development will progress quickly, because the infrastructure in the area is already in place. “It helps the county when areas like this move forward with their plans,” he said, “and I look forward to working with the developer.”