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Dealmaker: Meridian Capital Group Arranges $60M for Retail Properties
Meridian Capital Group, New York, arranged $60.4 million for three Arizona and Florida retail centers.
Meridian Managing Director Seth Grossman and Vice President Jackie Tran arranged $31.3 million for CIRE Equity, Los Angeles, to acquire Peoria, Ariz., mixed-use retail center Park West.
A balance sheet lender provided a three-year floating-rate loan with full-term interest-only amortization.
The 250,000-square-foot property’s tenants includes Harkins Theater, Bed & Body Works, Chico’s and Flemings.
“The quality of the center is phenomenal and the price our client paid is significantly below replacement cost,” Grossman said, noting that Meridian showed the lender the property’s significant upside potential, including leasing vacant space, extending existing short-term leases and potential to develop many interior pad sites.
Grossman and Tran also arranged $16 million to refinance Pecan Promenade, a retail center in Tolleson, Ariz., for CIRE Equity. The single-story, 141,500-square-foot center received a 10-year loan from a balance sheet lender. Shadow anchored by Target, the property 15 miles west of Phoenix is leased to national and regional tenants including Ross Dress for Less, LA Fitness, Dollar Tree and Subway. Since acquiring the property in 2014, CIRE Equity renewed 12 leases and signed five new leases.
“Overall, the property benefits from good retention, steady cash flow, high visibility and a strong draw from the center’s national and regional retailers,” Grossman said.
In Wesley Chapel, Fla., Meridian Capital arranged $13.1 million to refinance The Shoppes at New Tampa shopping center. Vice Presidents Eric Trombly and Peter Martz negotiated a 10-year non-recourse loan with three years of interest-only payments.
The 68,000 square foot Shoppes at New Tampa center’s tenants include Bonefish Grill, Office Depot, Jersey Mike’s Subs and LabCorp.
“The shopping center is situated on one of Tampa’s most trafficked thoroughfares and is at the forefront of the area’s steady growth over the past decade,” Martz said.
Trombly called the loan “very competitive” given the volatile interest rate market.