DJM Successfully Sells Gateway Center in Mission Viejo for $51 Million

DJM Successfully Sells Gateway Center for $51 Million

As of January 20, 2026, DJM, a private equity real estate and development firm based in Orange County, has officially completed the sale of the Gateway Center, marking a significant milestone in their investment journey. The neighborhood retail center, located in Mission Viejo, California, was sold for an impressive $51 million, reflecting a notable 6% capitalization rate on net operating income. At the time of sale, the center boasted an impressive occupancy rate of 97%.

Originally built in 1979, Gateway Center has a strong mix of daily needs and service-oriented tenants, including major national brands such as Starbucks and Chase, alongside local favorites like Baja Fresh and Saddleback Family Urgent Care. Situated on a sprawling 7.35 acres at 24000 Alicia Parkway, this center is located within one of the most affluent communities in South Orange County. Its prime location along a busy roadway allows for incredible exposure, attracting more than 78,000 vehicles daily.

DJM acquired the Gateway Center in December 2021 from the Gerrity Group for $39.5 million, at that time, the property was only 83% occupied. Since then, the firm has undertaken a meticulous repositioning strategy, which significantly improved its occupancy levels. This strategy included signing new leases with Pacific Dental and several boutique restaurants and fitness studios. Furthermore, DJM invested in aesthetic enhancements around the property, implementing improved landscaping, refreshed paint, and even launching a weekly community farmers market, which have collectively strengthened the center's community ties and presence.

“The investment thesis behind our strategy centered on high-quality, densely populated suburban markets such as Mission Viejo, which consistently support high retail demand, strong occupancy rates, and rental growth,” stated Rob Miller, the Chief Executive Officer of DJM. “Gateway Center exemplifies how strategic capital deployment, thoughtful leasing efforts, and effective asset management can substantially elevate long-term value.”

Through this sale, DJM affirms its commitment to navigating California's retail markets for over 34 years. The firm has successfully deployed capital with discipline and conviction, continuously creating long-term value through effective leasing momentum and strong asset management.

As DJM continues to expand its reach, it focuses on identifying and developing retail and mixed-use properties that cater to everyday consumer demands in reputable markets. This sale of Gateway Center marks a noteworthy achievement in their portfolio, reaffirming their status as a leader in the competitive real estate sector.

For those interested in learning more about DJM and their initiatives, visit their official website. With a focus on high-quality investments in sought-after markets, DJM remains a formidable force in the real estate investment landscape.