Introduction:

• Client was in a 1031 exchange.

• JS identified an off-market opportunity and negotiated directly with the Seller.

• Buyer was looking to create value through building updates and aggressive lease up.

  Challenge: 

• Coming out of Covid 19, the retail market was weak.

• There were a number of tenants behind in rent.

• Several tenants had expiring leases within the first year.

• Historically, the parking had always been inadequate.

  Result:

• Within the first year Landlord updated the facade and pylon sign, replaced the roof, and all HVAC units.

• JS was able to renew rolling tenants at market rates and negotiate a settlement of past due rent.

• JS began an aggressive marketing strategy to lease the vacant spaces at market rent.

• To date, JS has completed 3 lease renewals and 4 new leases, all at market rents.

• The NOI has significantly increased by raising below market rents upon renewal and by leasing previously vacant spaces. JS is in negotiations for the final vacant space.