The Cupertino Courier

News

Photograph by Daniel Sato

Cupertino Village, which is mainly filled with Asian shops, was sold to New York-based Kimco Realty.

Sand Hill sells Cupertino Village

By HUGH BIGGAR

Cupertino Village, a popular Asian-focused shopping center in Cupertino, has been sold for $65 million.

Kimco Realty Corp., which is based in New York, bought the shopping center at Wolfe and Homestead roads from Sand Hill Property. The open-air shopping center is known for its many Asian shops and restaurants, including the large Asian grocery store, 99 Ranch Market, and the Joy Luck Place Restaurant.

Elizabeth Hilton, a spokeswoman for the sellers, said the 114,000-square-foot shopping center would "definitely" retain its Asian character.

Donald Polishuk, who helped negotiate the sale for Peter Pau, owner of San Mateo-based Sand Hill Property, said the Asian concept helped play a role in the sale. "Retail property buyers increasingly appreciate shifting demographic trends throughout the U.S.," he said. "Buyer interest in Asian-themed shopping centers is being driven by the growth of significant Asian communities across the country."

As for Pau, the reason for the sale was more basic.

"At a certain point, it makes sense to take the money and [invest] it somewhere else," Pau said. His Sand Hill Property also owns several other properties in Cupertino, including the Oaks Shopping Center and the former site of Anderson Chevrolet.

"We know the owners; they are very experienced, know what they are doing, and it seemed like a good fit," he said of Kimco Realty.

After purchasing Cupertino Village in 1997, Pau transformed what had been a neighborhood shopping center into one with an Asian focus. The change came at a time of growing Asian populations in the Santa Clara Valley and in Cupertino, which is now a quarter Chinese.

Pau, who spent $6 million on renovating the property, also said Cupertino Village would retain its Asian character and businesses.

"They are not going to kick anybody out," he said, adding Cupertino village had a vacancy rate of less than 5 percent. "That's part of why Kimco wanted to buy it; it's prime property and they are good businesses."