Holliday Fenoglio Fowler, L.P. (HFF) announces the $25.46 million acquisition financing of a two-property, grocery-anchored retail portfolio totaling 305,765 square feet in suburban Minneapolis.
The HFF team worked on behalf of the borrower, an affiliate of Sterling Organization, to place two separate loans for the acquisition of Village Ten Shopping Center and Shannon Square Shoppes. Morgan Stanley Bank, N.A. provided the 10-year, fixed-rate loans, which will be serviced by HFF.
The portfolio, which is situated in two affluent Minneapolis suburbs, comprises the 208,127-square-foot Village Ten Shopping Center anchored by Cub Foods and Lifetime Fitness in Coon Rapids, Minnesota, and the 97,638-square-foot Shannon Square Shoppes anchored by Cub Foods in Arden Hills, Minnesota. The portfolio was 99 percent occupied at purchase.
The HFF debt placement team included senior managing director Chris Drew; senior director Nat Scarmazzi; managing director Jules Sherwood, a licensed Minnesota real estate broker; managing director Tim Joyce and associate Matthew McCormack.
“This acquisition helped Sterling Organization further expand their grocery-anchored investment holdings within the affluent and growing Twin Cities MSA,” Scarmazzi said. “The accretive debt was a testament to the strength of the location and historical performance of each of these assets.”
About Sterling Organization
Sterling Organization is a vertically integrated private equity real estate firm that has an established track record of providing exceptional risk-adjusted returns to its partners, in both relative and absolute terms. The company’s national platform is focused on investing in value-add retail real estate assets and stabilized/core grocery-anchored shopping centers in major markets across the United States on behalf of Sterling’s principals in partnership with the highest quality institutional investors. Sterling Organization is headquartered in Palm Beach, Florida. Visit http://www.sterlingorganization.com for more information.
About HFF
HFF and its affiliates operate out of 26 offices and are a leading provider of commercial real estate and capital markets services to the global commercial real estate industry. HFF, together with its affiliates, offers clients a fully integrated capital markets platform, including debt placement, investment advisory, equity placement, funds marketing, M&A and corporate advisory, loan sales and loan servicing. HFF, HFF Real Estate Limited, HFF Securities L.P. and HFF Securities Limited are owned by HFF, Inc. (NYSE: HF). For more information, please visit hfflp.com or follow HFF on Twitter @HFF.
