8-K

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, DC 20549

_____________

FORM 8-K

_____________

CURRENT REPORT

Pursuant to Section 13 or 15(d) of

The Securities Exchange Act of 1934

Date of Report (Date of earliest event reported):  July 3, 2013

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PHILLIPS EDISON – ARC SHOPPING CENTER REIT INC.

(Exact name of registrant specified in its charter)

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Maryland	000-54691	27-1106076
(State or other jurisdiction of incorporation or organization)	(Commission File Number)	IRS Employer Identification No.

11501 Northlake Drive

Cincinnati, Ohio 45249

(Address of principal executive offices)

Registrant’s telephone number, including area code: (513) 554-1110

Not Applicable

(Former name or former address, if changed since last report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

□      Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

□       Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

□       Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

□       Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Item 8.01.  Other Events

Boronda Plaza

On July 3, 2013, Phillips Edison – ARC Shopping Center REIT Inc. (the “Company”), through a wholly-owned subsidiary, purchased a grocery-anchored shopping center containing 93,071 rentable square feet located on approximately 9.5 acres of land in Salinas, California (“Boronda Plaza”) for approximately $22.7 million, exclusive of closing costs.  The Company funded the purchase price with  proceeds from its ongoing initial public offering.  Boronda Plaza was purchased from Donahue Schriber Realty Group, L.P., a Delaware limited partnership, which is not affiliated with the Company, its advisor or its sub-advisor.

Boronda Plaza is approximately 98.0% leased to 23 tenants, including a Food 4 Less grocery store, which occupies approximately 63.1% of the total rentable square feet of the shopping center.  Based on the current condition of Boronda Plaza, the Company’s management does not believe that it will be necessary to make significant renovations to the property. The Company’s management believes Boronda Plaza is adequately insured.

Press Release

On July 9, 2013, the Company issued a press release announcing its acquisition of Boronda Plaza.

Item 9.01.  Financial Statements and Exhibits

(c) Exhibits

99.1     Press Release dated July 9, 2013

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

	PHILLIPS EDISON – ARC SHOPPING CENTER REIT INC.
Dated: July 9, 2013	By:	/s/ R. Mark Addy____________________
			R. Mark Addy
			Co-President and Chief Operating Officer

EX-99.1

 

EXHIBIT 99.1

 

CONTACTS          From: Tony DeFazio	For: Jennifer Weingartner Director of Investor Relations
DDCworks	Phillips Edison – ARC Shopping Center REIT Inc.
tdefazio@ddcworks.com	jweingartner@phillipsedison.com
Ph: (484) 342-3600	Ph: (513) 619-5058

FOR IMMEDIATE RELEASE

Phillips Edison–ARC Shopping Center REIT Inc. Acquires Food 4 Less Grocery Store-Anchored Shopping Center in California

CINCINNATI, OH, July 9, 2013 — Phillips Edison–ARC Shopping Center REIT Inc. (the “Company”) today announced the acquisition of Boronda Plaza, a 93,071 square foot shopping center anchored by a Food 4 Less grocery store, a subsidiary of Kroger. Boronda Plaza is located in Salinas, California, the county seat of Monterey County. This acquisition further diversifies the portfolio as it is the first Food 4 Less grocery store-anchored property acquired by the Company.  Boronda Plaza is currently 98 percent occupied. When combined with the Food 4 Less lease, 68 percent of the rents for the shopping center are derived from national tenants. 

The acquisition of Boronda Plaza brings the Company’s total portfolio to 47 properties with 19 leading grocers in 18 states, with a portfolio aggregate purchase price of approximately $673 million.

The Company is a public non-traded REIT focused on the acquisition and management of well-occupied grocery-anchored neighborhood shopping centers throughout the United States.

About Phillips Edison – ARC Shopping Center REIT Inc.

Phillips Edison-ARC Shopping Center REIT Inc. is a public non-traded REIT that seeks to acquire and manage well-occupied grocery-anchored neighborhood shopping centers having a mix of national and regional retailers selling necessity-based goods and services, in strong demographic markets throughout the United States.  The Company is co-sponsored by two industry leaders: Phillips Edison & Company, who has acquired over $2.3 billion in shopping centers throughout the United States, and AR Capital, LLC, a real estate investment program sponsor dedicated to governance best practices.  As of July 9, 2013, the Company owned, directly or indirectly through a joint venture in which it has a controlling interest, and managed an institutional quality retail portfolio consisting of 47 grocery-anchored shopping centers totaling approximately 4.95 million square feet.  For more information on the Company, please visit the website at www.phillipsedison-arc.com.  

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