By Sara Beth Williams–
One Sunrise Mall property owner is actively pursuing an off-market sale.
Majority owner Namdar Realty Group is actively seeking brokers to help facilitate an off-market sale of the 50 acres they own, according to Sacramento Business Journal.
Up until April, Ethan Conrad Properties had been in escrow to purchase 50 acres of Sunrise Mall’s property pending a decision by the Citrus Heights City Council on an informal amendment request to the Sunrise Tomorrow Specific Plan.
Ethan Conrad, CEO of Ethan Conrad Properties, previously stated to The Sentinel, multiple neighborhood area groups, and the City Council that he would not continue with purchasing the mall if his informal plans were rejected.
At an April 23 City Council meeting, the City Council denied the informal request and site plans submitted by Ethan Conrad Properties. A majority of city council members encouraged Conrad to continue pursuing the purchase of the remaining acres of the mall, and to return to the council with plans that better aligned with the city’s future vision for the large property. Conrad ultimately chose to forgo completing the purchase.
Citrus Heights City Manager Ash Feeney reaffirmed the city’s stance on continuing to pursue the Sunrise Tomorrow plan in an email message to the community on Monday, saying, “The City Council heard the community voice a desire to continue to strive for a more aspirational vision that current and future residents would be proud of.”
According to emails obtained by the Sacramento Business Journal, Namdar Realty is attempting to facilitate an off-sale deal with the help of commercial real estate brokers. There is no price tag included in the email, according to the journal.
“We’re not looking to mass-market the property or hire anyone exclusively, but we will pay a market fee to any broker who brings us a buyer,” Namdar Realty wrote in at least one email.
Namdar Realty has not responded to multiple requests for comment from The Sentinel regarding Conrad’s decision to forgo purchasing the remaining acreage, or regarding the more than $300,000 in code enforcement fines levied against the realty group for continued neglect of the property, but Namdar Realty leadership has traveled to Citrus Heights recently and met with city officials, according to Feeney.
Feeney also said, in response to multiple complaints about the property, the city obtained an inspection warrant, conducted a comprehensive assessment, and “identified numerous health and safety violations.” A formal Notice to Abate has been issued and remains in effect, Feeney added.
The Sunrise Mall property spans nearly 100 acres and is currently divided into seven separate parcels owned by five different entities, including Ethan Conrad Properties, JCPenney, Antioch Street LP, Red Robin, and Namdar Realty Group. JCPenney currently owns 18 acres, while Antioch Street LP and Red Robin own smaller parcels in the northeast and northwest corners of the property.
On commercial real estate website LoopNet, Ethan Conrad Properties has a listing for the former Sears, at 5900 Sunrise Blvd., for $11.1 million, which is down from the original $16 million price tag, according to prior reports.
The 50 acres of property owned by Namdar Realty include 580,000 square feet of buildings with a current occupancy of 35 percent, according to the real estate group.
Namdar paid $25.6 million for the majority of the mall in 2018 and another $3.5 million for one of the former Macy’s stores and its adjacent parking lot in 2020.
