Thank you for sharing!

Your article was successfully shared with the contacts you provided.

DALLAS-Dunhill Partners Inc., with a little help from Kimco Realty Corp., goes for the triple crown in a behind-the-scenes play for the deed to the 166,638-sf Preston Forest Village, a 91%-leased center it’s managed and leased for some time. Real estate sources tell GlobeSt.com that the seller pocketed upward of $37 million.

The Dallas-based Dunhill bought the grocery-anchored center at 11661 Preston Rd. in North Dallas from Torreon Capital, an Austin-based mezzanine lender that acquired the asset in early 2001 from Olympus Real Estate and the Pilchers Group. Torreon most often invests as a limited partner, but occasionally kicks in 100% of the required equity on a two- to five-year hold, as appears to be the case with Preston Forest Village. Published accounts three years ago named Dunhill as one of the leads in the Austin-based consortium that bought the center from Olympus and Pilcher after they invested three years and $3 million into a repositioning that brought in Whole Foods of Austin as the anchor.

About three months ago, Torreon moved to sell its lone Dallas asset, hiring the Holliday Fenoglio Fowler LP team in Dallas of James Batjer, senior director, and Adam T. Howells, director, to market the holding, assessed at close to $25.2 million by the Dallas Central Appraisal District. The marketing brochures were still being designed when Dunhill stepped up to the plate with the New Hyde Park, NY-headquartered Kimco as its backer, Howells tells GlobeSt.com.

“In lieu of going to market, Dunhill pre-empted the process and it worked out to be a good deal for everyone,” Howells says. “This is an exceptional property, an exceptional location and would have generated a lot of interest from the investors’ market.”

Greenwich Capital Markets Inc. of Greenwich, CT, provided a loan with an 80% loan-to-value ratio. Kimco kicked in equity to take the equation to roughly 95% and Dunhill put up the balance, according to Howells.

Built in 1961 and renovated in 1999, Preston Forest Village sits on 10.5 acres as one of four corners to an all-retail intersection with a 100-store mix of mainstream and eclectic shopping venues. The Preston Forest Village’s roster also includes Ulta Cosmetics, MiCocina Restaurant, Genghis Grill, Ritz Camera and Wild About Harry’s.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 3 free articles* across the ALM subscription network every 30 days
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

Dig Deeper


Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2020 ALM Media Properties, LLC. All Rights Reserved.