Bank Trio Lends $62M on Essential Growth Properties’ Retail Portfolio
Essential Growth Properties has landed $62.4 million in acquisition financing for a six-property retail portfolio in Florida, Colorado and Indiana, Commercial Observer has learned.
Fifth Third Bank, Woodforest National Bank and Bank of Central Florida provided the five-year, fixed-rate, non-recourse financing at a loan-to-value ratio of roughly 64 percent.
Institutional Property Advisors, a division of Marcus & Millichap (MMI), arranged the financing with a team led by Sunny Sajnani and Todd McNeill.
Totaling 1,152,926 square-foot, the properties are anchored by various grocers, including Publix, King Soopers and Kroger. Four of the retail centers in the portfolio are located in Indiana: Woodlands Crossing at 154 W Hively Ave in Elkhart; Plymouth Plaza at 580 W Germantown Pike in Plymouth; Crawfordsville Square at 1600 Crawfordsville Square Drive in Crawfordsville; and Auburn Plaza at 1029 West Seventh Street in Auburn.
The remaining two portfolio assets are Gainesville Shopping Center at in Gainesville, Fla. and Cheyenne Meadows Shopping Center in Colorado Springs, Colorado.
“We are honored to be aligned with a best-in-class operator like Essential Growth Partners on their acquisition strategy,” Sajnani told CO. “IPA achieved attractive bank financing for EGP in this turbulent credit cycle. These financings prove that grocery-anchored retail continues to be a favored product type, even amid a rising interest rate environment.”
“IPA has been an invaluable extension to our team.“ Nick Hodge, CEO of Essential Growth Properties, said in prepared remarks. “Not only has Sunny and his team been able to arrange attractive debt terms, but they provide all the necessary tools and resources to get the transactions closed. We are bullish on the grocery-anchored retail space and have big acquisition goals.”
Officials at Fifth Third Bank, Woodforest National Bank and Bank of Central Florida did not immediately respond to a request for comment.
Emily Fu can be reached at efu@commercialobserver.com.
