Hickory Flat Village at 6175 Hickory Flat Highway in Canton, Georgia — Courtesy: JLL
By Joshua Burd
Medipower Group has scored a combined $71.3 million in acquisition financing for a Bergen County shopping center and six retail properties in the Southeast.
According to JLL, which sourced the transactions, Protective Life provided a loan in connection with the 77,743-square-foot at 430 Lewandowski St. in Lyndhurst. In the second deal, Nationwide financed Medipower’s purchase of a portfolio spanning Myrtle Beach, South Carolina; Virginia Beach, Virginia, and four properties throughout the Atlanta metro.
JLL’s Jim Cadranell, Jon Mikula, Gregg Shapiro, Hunter Goldberg, Kelsey Bawcombe, Streeter Simmons and Caleb Henry represented the borrower in the deals.
“These two transactions reflect strong lender confidence in high-quality, grocery-anchored retail assets with exceptional fundamentals,” Cadranell said. “The combination of investment-grade and best-in-class regional grocers, strong sales performance, minimal capital requirements and strategic locations in high-barrier-to-entry markets made these attractive opportunities for both Protective Life and Nationwide.”
In a news release, JLL noted that the properties are 99.7 percent occupied and anchored by leading national grocers, including Stop & Shop in New Jersey and Publix and Kroger throughout the Southeast. The supermarkets demonstrate strong performance, the firm said, with average sales exceeding $700 per square foot and occupancy costs averaging some 2.2 percent.
Lewandowski Commons, located seven miles from New York City, benefits from a region with an average household income exceeding $138,000 within a three-mile radius, the news release said. The region also has a total population of more than 600,000 within five miles.
The Southeast portfolio, for its part, spans 456,395 square feet and includes Hickory Flat Village in Canton, Deshon Plaza in Stone Mountain, Flat Shoals Crossing in Decatur and Cascade Corners in Atlanta, all in Georgia, and The Plaza at Carolina Forest in Myrtle Beach and Kroger Plaza in Virginia Beach.
“These properties benefit from durable income streams, with nearly half of revenue derived from grocers operating at low occupancy costs and demonstrating consistent sales growth,” Shapiro said. “The financing structure provides Medipower with the flexibility to execute their business plan across these institutional-quality assets in premier markets.”
JLL: Grocery-anchored retail center in Lyndhurst trades as part of $115 million portfolio deal
