Highway 101, Marin City/Sausalito, CA

Regional Power Center

Key Tenants
Target, West Marine, CVS, Ross, Starbucks

182,000 SF

Dramatically increase cash flow and enhance returns by creating a historic redevelopment and repositioning of this property that has experienced challenging perception in Marin County for over 20 years.

Redevelopment, repositioning, anchor tenant leasing, entitlements, community relations.

Investment Strategy
Marin Gateway shopping center is located in a high-visibility, easily-accessible location on Highway 101 at the Sausalito interchange in southern Marin County. The shopping center encompasses 182,000 square feet in seven, single-story retail buildings that surround a large central parking area with approximately 830 spaces.

Tallen Capital Partners (TCP) and its wholly owned brokerage subsidiary, Retail Investment Property Advisors, in conjunction with Pacific Coast Capital Partners and BHV, redeveloped and renovated buildings in late 2004 with the strategy to re-merchandise the center with an upgraded tenant mix during 2005.

TCP was directly responsible for the value creation at the project and worked closely with the local community stakeholders and the Marin County Supervisors. The group acquired the property for $21,000,000 and sold it for $36,000,000, achieving outstanding returns on invested capital.

TCP brought the first Babies R Us Superstore in Marin County to the project, a new Starbucks, Dollar Tree, a drive-through Panda Express located directly on the 101, and many other retailers, health clubs, and restaurants, thereby enhancing both cash flow and project value.

From 2012-17 Tallen Capital Partners redeveloped the “Gateway” for a second-time with southern CA based Gerrity Group and achieved key entitlements and thru Tallen Capital’s extensive and long-standing national tenant relationships we attracted a new 25,000 sq. ft. West Marine Flagship Store as well as a 48,615 square foot Target Flex-Format store, bringing much needed groceries to an area that has long been considered a food desert. Tallen Capital Partners rebranded the property and has added many new retailers to the mix including Anytime Fitness and a new Starbucks which is the only Starbucks Marin County with a drive-thru. Over the years Tallen Capital Partner has procured nearly every lease in this retail property and having achieved record rents in this market has significantly increased the value and perception of this historic retail asset.

The site serves southern and central Marin County and offers strong demographics. With a dense high-income population and the surrounding traffic commute along the Highway 101, the Gateway Marin Retail Center is uniquely positioned to attract an expanded shopper base and provides enhanced retail and dining options to the Southern and Central Marin County community. The site is positioned for a stronghold in retail profitability and long-standing tenant relationships.

As a result of TCP’s efforts, the “Gateway” was singled out in the nine county Bay area by the San Francisco Business Times as the “Retail Sale of the Year Award” recipient in 2004, for the innovative acquisition structure conceptualized by TCP and Walter Ross, the advisor to the Marin City Municipality, in marrying the long term benefit of project ownership for the residents of Marin City in this double bottom-line partnership.

Through strategic leasing, marketing and nurturing governmental and community relationships, we eliminated a 20 year negative stigma, and the community now enjoys one of the newest Target stores located in Northern CA, along with a stellar tenant mix. The redeveloped property now serves as a welcomed amenity to San Francisco residents and all of Marin County.