Cushman & Wakefield announced Monday it has secured a $72.5 million construction loan to redevelop The Shops at Ledgewood Commons in Roxbury Township.
The firm’s Equity, Debt & Structured Finance team arranged the financing with Santander Bank on behalf of the retail property’s ownership, affiliates of Advance Realty Investors.
“While financing retail centers can be challenging in the current climate, quality assets and experienced sponsors still garner strong demand from a subset of lenders, which, given our strong lender relationships and deal flow volume, we were able to tap into,” John Alascio of Cushman & Wakefield said. “During the marketing process, we secured competitive interest from a number of banks and debt funds and ultimately selected Santander based on its clear understanding of the redevelopment and ability to provide the attractive terms and flexibility necessary to complete the project.”
Alascio headed the assignment along with Sridhar Vankayala, TJ Sullivan and Zachary Kraft.
“We could not be more pleased with our team’s collective execution on this financing and we greatly look forward to the revitalization of this once thriving mall,” Alex Cocoziello of Advance Realty Investors, said. “Once complete, this center will serve as the model for how struggling retail centers, through great partnerships and creativity, can be successfully repositioned.”
Ledgewood Commons is within close access to routes 10 and 36, and Interstate 80.
“The ownership has already added significant value to Ledgewood Commons via strong pre-leasing and re-commitment from existing tenants, which speaks volumes to the strength of the center,” Vankayala said. “Coupled with robust market and consumer demographics, this gave potential lenders comfort and enabled them to appreciate the center’s potential to transform into a vibrant retail power center anchored by credit tenants. As retail trends continue to move away from traditional malls, Ledgewood Commons is positioned to thrive in the modern retail environment as a premier open-air retail destination.”
