The Mill shopping center in Water Mill was officially sold last week for $13.1 million.
Vault Development Partners, a boutique real estate investment company with other investments in East Hampton, purchased the Montauk Highway property that offers 29,500 square feet of retail space across six buildings in a village square setting. Hal Zwick and Jeff Sztorc of the Hamptons Commercial Real Estate Team at Compass and Lee Minetree of Saunders & Associates had the co-exclusive listing, while Zwick and Sztorc also represented the buyers in the deal, which closed on April 20.
“Water Mill is the gateway to the eastern communities of the Hamptons. Many have considered it a ‘drive-through.’ That is going to change,” Zwick said in an announcement on Monday.
“Robert Zecher and the team at Vault will enhance the center from the physical presence, tenant mix, and ongoing events,” he continued. The locals, day-trippers, and second homeowners will all have a reason to make the village a destination regularly.”
The $13.1 million sale of The Mill is the latest in a string of big commercial trades in the Hamptons.
Robert Zecher, the CEO of Vault Development Partners, told Behind The Hedges in early March, before the deal closed, that he had been looking at the asset for several years.
The 3.64-acre property sits at 760 Montauk Highway, in front of the Water Mill Station office complex, with access at the traffic light at Station Road. Watermill Crossing, the 38 new townhomes being built at 66 Nowedonah Avenue by JS Squared, is immediately east.
“We are thrilled to acquire such a prime property in one of the most desirable retail centers in the Hamptons investment marketplace,” Zecher said in the announcement. “We see tremendous potential for The Mill, and our team is eager to enhance its offerings.”
The last asking price for The Mill was $15.9 million. Built in 2002, it last changed hands in 2021 for $8.7 million.
Current tenants of The Mill include Provisions Natural Food Market, Tight Medical Spa, Water Mill Wine & Spirits and Hamptons Float. The buildings, including one that was home to Soul Cycle for several years, are turnkey. There is also a mix of wet-use and dry retail tenants permitted.
There is parking for 154 vehicles, along with Tesla charging stations.
Vault Development Partners also owns the mixed-use property at 105-107 Newtown Lane in East Hampton Village, which it bought in 2021 for $7.2 million.
Zwick and Sztorc also represented Zecher in that deal, as well, and have recently put it back on the market for $14.25 million.
The tallest building in the village at three stories and located adjacent to the East Hampton Train Station, it is now home to Hampton Chutney and Zakura’s Takeaway, as well as eight apartments on the second and third floors.
A separate four-bedroom, four-bathroom rental house is part of the fully leased, mixed-use property.
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