January 23, 2018
The McKinley Companies announced today the acquisition of two Triple Net assets located in Gainesville and Lakeland, Florida. McKinley has been exiting its retail and office holdings while migrating to an all Multifamily enterprise as well as owning and operating a select portfolio of high quality long term commercial real estate holdings that have excellent investment grade credit tenants in place. These two most recent acquisitions are occupied by SunTrust Banks, Inc. (NYSE - STI) which is rated BBB+, on long-term NNN leases.
Gainesville, Florida – The property at 5080 W Newberry Road consists of 6,314 square feet on 1.48 acres located in Gainesville’s financial district and situated within the University of Florida hub. The corner of 8th Avenue and W Newberry is a vibrant corridor with close proximity to the Oaks Mall Regional Shopping Center and I-75.
Lakeland, Florida – The property at 5441 N. Socrum Loop consists of 3,448 square feet on .85 acres located in the prosperous neighborhood positioned by Lake Gibson, accessible from interstate 4 on the corner of Publix Super Market.
McKinley secured acquisition financing with Comerica Bank, N.A., one of McKinley’s most trusted and long-term banking relationships. Comerica has provided McKinley with a significant debt facility for its NNN acquisitions which includes the recent acquisition of the Fifth Third Bank NNN investment located in Windermere (Orlando), Florida and the Walmart NNN investment located in Grand Rapids, Michigan. “We are thrilled with these additions to our extraordinary NNN investment portfolio,” offered Jim Willett, Senior Vice President & Managing Director – Finance. “We are looking forward to several additional acquisitions we have in the pipeline that will add to our portfolio of NNN investments,” added Willett.
January 23, 2018
Norfolk’s JANAF Shopping Yard may be seeing some new retailers and development in the coming years thanks to a new owner, Wheeler Real Estate Investment Trust Inc. CLICK HERE
January 22, 2018
Wheeler Real Estate Investment Trust, Inc. (NASDAQ:WHLR) (“Wheeler” or the “Company”), a fully-integrated, self-managed commercial real estate investment company focused on acquiring and managing income-producing retail properties with a primary focus on grocery-anchored centers, today reported that the Company has acquired JANAF Shopping Yard (“JANAF” or “Property”), a 887,917 rentable square foot shopping center located in Norfolk, Virginia.
Tow read more CLICK HERE
January 18, 2018
The McKinley Companies announced today that it has sold JANAF Shopping Yard to Wheeler Real Estate Investment Trust, Inc. (NASDAQ:WHLR), for $85.65 million. McKinley has owned JANAF Shopping Yard (“JANAF”), an 887,917-rentable square foot shopping center located in Norfolk, Virginia, since 1990; and it was the single largest retail asset in the McKinley portfolio. This sale marks a critical milestone in McKinley’s strategic effort to exit the retail real estate business. McKinley has sold over 15 retail real estate assets over the past 36 months, and it is expected to finalize its exit from retail real estate by Q2 2018.
JANAF was originally built in 1959, and it has undergone extensive expansion and redevelopment since McKinley acquired the asset. McKinley partnered with Walmart as they expanded their contiguous Supercenter and created a shared parking plate making Walmart a core shadow anchor. McKinley built a new ground up development on-site, and totally repositioned the main retail center. McKinley also repurposed the former Montgomery Ward property into successful retail shops via a complex adaptive re-use effort, and most recently delivered the new Wawa at the main entrance. JANAF was 94% occupied at closing, and anchored by prominent retailers including BJ’s Wholesale Club and Fuel Center (151,345 square feet in total); T.J. Maxx (37,383 square feet); Petco (17,000 square feet); Wawa (7,240 square feet); and Big Lots (42,500 square feet). Service and necessity providers such as the United States Postal Service, SunTrust Bank and others are also tenants of JANAF and serve the surrounding community. JANAF encompasses approximately 92 acres and includes 850,683 square feet of retail space in multiple buildings and 37,234 square feet of office space in one building.
“We congratulate Jon Wheeler and his team on this most important acquisition, and we are confident that they will do great things with JANAF which is located in their home town,” offered Albert M. Berriz, Managing Member, Chief Executive Officer, Board Member and Co-Owner of McKinley. “As we have shown, our exit from retail real estate has been carried out flawlessly and with enormous precision. My thanks to the McKinley team that has worked tirelessly to make this most complex disposition happen. We are very excited that this milestone event will be transformative for our enterprise,” further added Berriz.
January 9, 2018
Wheeler Real Estate Investment Trust, Inc. Announces Contract to Acquire JANAF Shopping Yard in Norfolk, Virginia. To read more news on the JANAF sale CLICK HERE
December 28, 2017
PHOENIX, AZ. - The McKinley Companies announced today that it closed on the sale of the 35th and Greenway Shopping Center located in Phoenix, Arizona, an asset it has owned since the 1980’s. The sale is part of McKinley’s strategic effort to exit the retail commercial real estate business as it migrates its real estate holdings to an all Multifamily platform.
“We are focused, passionate and we have executed our strategic exit from retail real estate flawlessly,” offered Albert M. Berriz, Managing Member, Chief Executive Officer, Board Member and Co-Owner of McKinley. “We expect our remaining dispositions to close in Q1 and Q2 2018,” further offered Berriz.
December 27, 2017
ANN ARBOR, MI. - The McKinley Companies announced today the successful completion of supplemental financings for two of its generational Multifamily assets that it owns in Indiana and Florida. The communities, Carmel Woods a 314-unit community located in Carmel, Indiana, and Turnbury at Countryside a 350-unit community located in Clearwater, Florida, exceeded all operational expectations and thus allowed McKinley to secure supplemental financing from Fannie Mae well in advance of its anticipated target date.
“The team at Berkadia led by our good friends Ernie Katai and Justin Wheeler performed flawlessly along with our friends at Fannie Mae as they both always do,” offered Albert M. Berriz, Managing Member, Chief Executive Officer, Board Member and Co-Owner of McKinley. “Once again, our Owned Multifamily team led by Albert L. Berriz, exceeded all expectations, generating exceptional revenue and net operating income gains at these communities, allowing us to execute these financings well ahead of plan,” further added Berriz.
The Indianapolis and Tampa Bay markets are core markets for McKinley, having owned and operated Multifamily communities in Indianapolis since 2001 and Central Florida since 1982.
December 26, 2017
GRAND RAPIDS, MI. - The McKinley Companies announced today the acquisition of a Triple Net Lease Asset located in Grand Rapids, Michigan. The property is occupied on a long-term lease by a Wal-Mart Supercenter, located on 28th Street SE, just off US-96 and in close proximity to the Gerald R. Ford International Airport. The acquisition is part of McKinley’s strategic direction to exit the office and retail asset classes and become primarily a Multifamily enterprise.
“As we exit our retail and office holdings, we are moving capital to Multifamily primarily, and also into high quality investment grade triple net leases. We plan to eventually rotate all of our capital into Multifamily over time as opportunities arise, and markets shift to being more of a buyer’s market,” offered Albert M. Berriz, Managing Member, Chief Executive Officer, Board Member and Co-Owner of McKinley. “In the interim, our Triple Net Investments will only be of the highest credit quality and in conjunction with being extraordinarily well located real estate. The Grand Rapids location was a natural choice for us of course, it’s a market and a location we know very well and we are very pleased to have it in the portfolio,” added Berriz.
McKinley was supported by Comerica Bank in this acquisition, one of its longest commercial banking relationships it has had over the years. “Comerica is family for us, they are always there for us, and they did a terrific job on the execution of this transaction as they do in everything they do for us,” further added Berriz.
December 7, 2017
Check out this feature on Mgoblue.com about McKinley's Summer Intern. Read More
November 16, 2017
The McKinley Companies announced today the acquisition of Hampton Oaks Apartments in Gainesville, Florida for Avanath Capital Management. McKinley and Avanath have partnered over the last five years in the execution of a detailed plan to acquire and manage outstanding workforce housing and LIHTC housing developments throughout Central Florida. Avanath has three active investment funds with the goal of being the preeminent investment firm in affordable multifamily housing.
“Avanath has a dynamic and results-oriented team, making the execution of our acquisition plan a smooth process” offered Harry W. Collison, Jr, CRE, FRICS. As McKinley’s Senior Vice President and Managing Director of Acquisitions and Dispositions, Harry has worked hand in glove with Avanath’s executive team to target key acquisitions throughout Central Florida. Avanath now owns seven multifamily developments in this economically diverse geography.
Hampton Oaks was built in 2004, has 162 apartment homes and contains a mix of large two and three bedroom apartments with condo grade interior finishes. Washer and dryers are included in each floorplan. This development is next door to another Avanath-owned community named Savannah Apartment Homes on SW 62nd Street. These assets are a short distance from the campuses of the University of Florida and Santa Fe College. Additionally, the major retail corridor along Archer Road and Celebration Pointe are within minutes.
“McKinley has been extremely successful in building portfolios of assets within close proximity” added David Rohlfs, Managing Director – Institutional Real Estate. “We are immediately embarking on a $1.5 million capital renovation effort focusing on the customer experience and energy efficiencies. We will rebrand Hampton Oaks as an extension of Savannah. This allows us to create terrific economies of scale. Our Gainesville-based team members are excited to have even more quality homes available for our customers to enjoy.”
McKinley and Avanath together are proud to be a major employer and owner of multifamily real estate in the Central Florida region. We are committed to the future and well-being of the region, our customers who provide us the opportunity to serve their housing needs, and our over 500 amazing Central Florida based team members who deliver high quality service each and every day.