X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.

CLEVELAND-Developers Diversified Realty hopes to improve its balance sheet after Q1 numbers charted a fall in revenue from $236.1 million to $219.8 million. According to reports, the company is looking to divest of 11 New York State assets and has sold one in Nashville.

Chicago-based Monroe Investment Partners purchased a 26-acre retail site on Charlotte Avenue in Nashville. A report in the Nashville Business Journal says the shopping center anchored by Lowes and Wal-Mart sold for $14.3 million.

Additionally, the company is in talks to sell 11 New York State properties back to Benderson Development Co. DDR originally purchased the properties from Benderson in a large portfolio deal that gave the locally-based REIT 110 properties for $2.3 billion.

The article in the Buffalo News lists the potential purchase price as between $160 million and $175 million – a significantly lower price than DDR paid for the same properties just five years ago.

The New York sale would include the 700,810-square-foot Boulevard Consumer Square in Amherst, the 520,876-square-foot Eastgate Plaza in Clarence, the 82,196-square-foot Marshall’s Plaza in Buffalo, the 188,200-square-foot Sheridan/Delaware Plaza in Tonawanda, the 58,413-square-foot Sheridan-Harlem Plaza in Amherst, the 84,000-square-foot Tops Market in Hamburg, the 114,177-square-foot Transit Commons in Amherst, and the 112,949-square-foot Transit Wehrle Retail Center in Lancaster.

DDR has been looking for ways to improve its balance sheet for months now. The company has entered into an agreement to allow Alexander Otto and his family to purchase 30 million shares. As previously reported by GlobeSt.com, the family has agreed and been give board approval to purchase the first 15 million shares at $3.50 per share and the second set of 15 million shares at $4.00 per share. After that the company has a five-year warrant to purchase an additional 10 million shares at $6.00 per share. If that were to go through, the Otto Family will pay $172.5 million.

DDR owns and manages more than 710 retail and development properties in 45 states as well as Puerto Rico, Brazil and Canada. Its portfolio totals 157 million square feet of retail space.

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
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

GlobeSt

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 © 2021 ALM Media Properties, LLC. All Rights Reserved.