FORT COLLINS, CO—Ramco-Gershenson Properties Trust has acquired Front Range Village, a shadow-anchored retail center in Fort Collins, for $128.3 million.

"Front Range Village is a very exciting acquisition that features a strong line-up of the nation's top retailers located in a dynamic, rapidly growing market. Front Range Village, our third Colorado asset, is initially accretive and provides the opportunity to create additional value through the development of up to 100,000 square feet of retail space," said Dennis Gershenson, president and chief executive officer. "Further, we were able to secure the funding of this acquisition through private placement debt at very attractive interest rates."

Front Range Village encompasses approximately 810,000 square feet (460,000 square feet owned by the company) and is anchored by Target (shadow), Lowe's (shadow), Sprout's Market, DSW, Cost Plus World Market, Staples, Party City, Toys 'R Us/Babies 'R US, and The Sports Authority. Front Range Village also features a number of unique-to-market and specialty retailers including, Sephora, Charming Charlie, Pure Barre, Runner's Roost, Learning Express, Mathnasium, Kay Jewelers, ULTA Beauty, Crazy 8, Claire's, Lane Bryant, Five Guys Burgers and Fries, Spice & Tea Exchange, Qdoba, and Panera Bread.

The center includes 78,000 square feet of office space leased to multiple tenants, including Microsoft and CA technologies, and is also home to the Southeast Branch of the Fort Collins Public Library, which draws 366,000 visitors to the shopping center each year. The company funded the acquisition with cash and borrowings under its revolving line of credit.
The trust also announced an agreement with NYL Investors, LLC, a wholly-owned subsidiary of New York Life Insurance Company, to issue a $100 million private placement of senior unsecured notes. The financing will consist of $50 million of notes with a ten-year term priced at a fixed interest rate of 4.16% and $50 million of notes with a twelve-year term priced at a fixed interest rate of 4.30%.
Front Range Village is located on Harmony Road, one mile west of the I-25 Expressway interchange. A number of new developments are underway along Harmony Road, including a new 344,000 square foot hospital and a 25-acre mixed-used project.
Ramco-Gershenson Properties Trust is a fully-integrated, self-administered, publicly-traded real estate investment trust (REIT) based in Farmington Hills, MI. The company's business is the ownership and management of multi-anchor shopping centers in strategic metropolitan markets throughout the Eastern, Midwestern and Central United States.