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DALLAS-A New York-based disposition pro hits the streets tomorrow with more than 30,000 marketing packages hawking close to 2.7 billion sf of retail and warehouse space held by Fleming Cos. Inc. a leading food distributor catapulted into a Chapter 11 bankruptcy after its main customer, Kmart, canceled its contract. The 62 locations span 20 states.

There are no minimum prices for the mixed bag of assets, part of which will be auctioned Oct. 14, with bids due by Oct. 9. An internal analysis of the projected take-home pay is being kept confidential. “At the end of the day, we’ll take the highest and best offer if it benefits Fleming,” Michael Matlat of Keen Consultants LLC in Great Neck, NY, tells GlobeSt.com.

Matlat says he’s already fielded a lot of inquiries about pieces of the package. Up for auction are 14 fee-owned locations, including vacant land, and 13 leaseholds of retail and warehouse space. Offers are being taken on another 34 leaseholds of retail and warehouse space, but they are not part of the October auction.

Fleming based in Lewisville, north of Dallas, started unloading holdings long before an April 1 filing for Chapter 11 protection in US Bankruptcy Court in Delaware. The bankruptcy came three months after its main contractor, Kmart, terminated the Fleming supply contract as part of its Chapter 11 recovery.

The 631,802-sf auction list contains three income-producing retail sites: a 7,153-sf, two-tenant property at 4200 Camp Robinson Rd. in North Little Rock, AR; 194,301-sf Home Shopping Network at 359 Kesslemill Rd. in Salem, VA; and 13,300-sf IGA Foodliner at 2991 Wendell Blvd. in Wendell, NC. The four leases roll this year and next. Fleming’s annual cost for the trio is $532,140, according to Keen’s Website.

Land tracts, ranging from one acre to 12.6 acres, in Florida, Kentucky, Louisiana, North Carolina, Oklahoma, Texas and Wisconsin are on the block. The package includes an owned, 156,842-sf warehouse in Marshfield, WI, and a sandwich leasehold for a 140,000-sf warehouse in Woodbridge, NJ. The retail sandwich leaseholds are located in Arkansas, California, Florida, Kansas, Nebraska, Texas, Virginia and Wisconsin. The locations ranges from 15,000 sf to 140,000 sf and carry termination dates from this October through October 2012.

“What we have here is some prime, prime real estate,” Matlat said in a press release. The 34 leased sites up for sale, but not auction, range from 7,650 sf to 351,324 sf. The near 2.1 billion sf carry expiration dates from February 2004 through Dec. 31, 2023.

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