Cronheim Mortgage Arranges $30M for Walmart Anchored Retail Center

On Dec 17, 2014

Andrew Stewart, Dev Morris, and Allison Moravec have secured $30 million in financing for a Walmart Supercenter anchored property located in Burlington, Burlington County. The loan was structured with a 10-year term and 30-year amortization.  The property is part of Purchase, NY-based National Realty & Development Corporation’s 22 million square foot portfolio. The loan was placed with Voya Investment Management, whom Cronheim represents as correspondent and servicing agent.

The subject property, known as Liberty Square Center, is a 380,383 sf shopping center anchored by Marshalls, Acme Supermarket, Toys-R-Us, and a recently expanded Walmart Supercenter. It is clearly the dominant retail property in the trade area.

According to Dev Morris, “Walmart’s desire to expand speaks to the strength of this location and the submarket.  The fact that they were able to remain open during the entire expansion and renovation process is a credit to National Realty’s expertise as an owner and manager, and the strength of its tenant relationships.  As a portfolio lender, Voya provided a comfort level to the borrower in terms of rate lock and certainty of execution.”

The inline space is leased to a variety of national and local retailers, including Party City, Kicks USA, H&R Block, AT&T, and Rainbow, among others. Liberty Square Center is strategically located at the signalized intersection of Mount Holly Road (Route 541) and Cadillac Road affording the property excellent visibility. There are two points of ingress and egress along Mount Holly Road (33,747 vehicles per day) and a third along Sunset Road, just north of the subject.  Burlington, New Jersey is a Philadelphia suburb, with a five-mile demographic population of 192,134, and median household income of $62,049.

Founded in 1897, David Cronheim Mortgage Corporation and its affiliate companies located in Chatham, NJ provide an array of real estate services including debt and equity for investment grade real estate. Through their Channel Real Estate Funds affiliate they have provided mezzanine and equity capital for numerous real estate projects in an efficient and cost effective manner. Cronheim Mortgage maintains correspondent and/or servicing relationships with 15 institutional investors, mostly insurance companies, and currently services $2.0 billion of debt. The company and its insurance company correspondents have substantial debt and equity capital to invest in quality real estate at pricing below alternative sources, especially for long-term debt.

 

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