Distressed Commercial Real Estate Services

Transcription

1 Distressed Commercial Real Estate Services

2 About Us Launched by two industry veterans to exploit opportunities generated by the 2008 disruption in the real estate market. A service provider to lenders, servicers and owners of non-performing debt/properties: Property Services Receivership Property Management Leasing Dispositions Representative Clients Since 2009 Primarily distressed assets 4,000,000+ sf commercial 942 units multi-family 90+ properties 20 institutional clients 4 PE Funds 10 Special Servicers 6 Banks $101,000,000 dispositions of loan notes and properties

3 Representative Assignments

4 About Us S.L. van der Zanden brings over 30 years of commercial real estate experience helping institutional, corporate, and private clients overcome challenges and capitalize on over $2 billion in opportunities. In addition to duties as CEO, he is project executive on the firm s most significant assignments, providing clients with a direct connection to the project team. S.L. van der Zanden Managing Principal CEO As Managing Principal of Newcastle Limited, he personally sold over $135MM of his non-profit client s excess or under-utilized real estate assets for redevelopment by identifying the highest-andbest use for each, and tailoring a sealed-bid marketing package to secure the highest value. Previously he directed the property management, leasing, financing and asset management functions for a 22- property, 1.6 million square-foot office and industrial portfolio. In addition, he successfully repositioned REO assets for a life company, resulting in an increase in occupancy from 53% to 96% in 18 months. At 29, he founded a firm that acquired/developed mixed-use projects in Chicago s prestigious DePaul/Lincoln Park neighborhood. Mr. van der Zanden launched his real estate career at VMS Realty, Inc., a private equity firm, and later at the Fifield Companies, where he was responsible for $1.4 billion in hotel, office and apartment acquisitions and syndication. Mr. van der Zanden began his professional career at KPMG where he audited real estate, banking and oil & gas limited partnerships. He holds a BA in accounting from Michigan State University, is a CPA and licensed Managing Broker. Expertise Ownership role and investment Financial structuring and analysis Distressed property turn-around Asset & property management Urban & mixed-use development

5 About Us (cont d) Brian Goldman has over 20 years of relevant commercial real estate experience and is responsible for the firm s business development and leads the acquisition originations and dispositions teams. Previously, he lead Realogic s Capital Markets Services Group and as a Senior Investment Officer with John Hancock Financial Services where he originated and underwrote commercial real estate mortgages and managed its $1 billion Midwest portfolio. Brian Goldman Principal & COO Prior to that, he was the Assistant Manager of Manulife Financial s Chicago Real Estate Finance office. He was part of a team that was responsible for starting up a new Midwest regional office for the rollout of a new commercial real estate lending platform. Prior to working in Chicago, Goldman was employed by Manulife Financial at its Toronto home office in the Special Asset Management group where he performed workouts and dispositions of a large portfolio of non-performing loans. Mr. Goldman began his career in Toronto leasing Manulife Financial s 1,000,000 sf portfolio of office buildings and retail centers. He holds an MBA from University of Chicago Booth School for Business and is a licensed Managing Broker. Expertise Acquisitions Dispositions Debt and Equity Financing Workouts Underwriting Risk Analysis

6 Testimonials There are lots of receivers, and most are good at working the court system and chasing tenants for rent, but RE SOLUTIONS brings a true asset management perspective which is a big differentiator that adds a lot of value to the equation Gianluca Montalti Senior Vice President Torchlight Investors They have ALWAYS been very responsive, very professional, and very good in their judgment. This demonstrates their depth of experience and commitment to clients like me. We will certainly use them again John Maute Senior Managing Director SITUS Holdings RE SOLUTIONS is a very professional and experienced operator. They increased our occupancy to 100% through an aggressive tenant retention and leasing strategy. Gerald Nudo Principal Marc Realty

7 Case Study: O Fallon Walk Retail O Fallon, MO Background. This 157,000 sf Gordmans anchored community center defaulted after the LinensNThings bankruptcy caused the loss of two additional junior boxes, resulting in a 45% vacancy. Roof line of existing center Challenges. Initial retenanting efforts were unsuccessful primarily because the center was significantly below the grade of the frontage road and unrelated buildings (particularly an unsightly garage) in front of the center blocked the view. In addition, cash flow was uncertain due to Gordmans cotenancy clause that allowed it terminate at will. Resolution. To stabilize cash flow, we immediately negotiated a one year suspension of Gordmans termination right and we successfully retained the remaining tenants through proactive property management. An attempt to sell the property as-is failed due to the Gordmans continuing termination right and the inability of the contract buyer to acquire the unsightly, view-blocking garage from the notoriously difficult neighbor. Therefore we renegotiated Gordmans lease to extend the term and delete the termination right, and tied up the garage with a purchase option. After getting the sign ordinance amended to allow a larger monument sign and redesigning marketing materials to show a new entrance and sightline, we lined up tenants for all of the vacant space. Outcome. A second sale succeeded in achieving a price 66% higher than the best viable bid obtained during the previous sales effort.

8 Case Study: The Glen Town Center Glenview, IL Background. This 473,000 sf mixed-use, lifestyle shopping center defaulted due to tenant defaults and losses during the Great Recession. Challenges. Developed in 2003 at too high a cost, away from a major intersection, and hidden behind housing per the New Urbanist approach, the center never fully leased prior to the crash. Poor sales, dark spaces, tight-fisted ownership and persistent rumors of impending foreclosure kept new tenants away. Resolution. We evicted problem tenants, repositioned market perception of the center and increased occupancy to 90%. Outcome. Property sold for approximately 50% higher than preforeclosure bid. Case Study: Fox Valley Walk, Aurora, IL Background. This 15,500 sf neighborhood strip center defaulted due to the loss of a key tenant. Challenges. Only 50% occupied following loss of tenant and never leased, raw space. Resolution. Secured restaurant tenant to increase traffic to center and leased remaining space plus an LOI to bring occupancy to 100%. Outcome. Property sold for over $200 per sf.

9 Receivership, Leasing and Management Experience Property Name Location Type SF Units The Plaza Mall Evergreen Park, IL Retail 785,000 Glen Town Center Glenview, IL Retail 266,603 O'Fallon Walk O'Fallon, MO Retail 157,779 Valparasio Walk Valparasio, IN Retail 143, W North Avenue Melrose Park, IL Retail 41,925 Fountainbleu Strip Center Hazel Crest, IL Retail 38, E. 162nd Street South Holland, IL Retail 37, W Main West Dundee, IL Retail 36,262 Melrose Park Commons Melrose Park, IL Retail 30, S Central Oak Lawn, IL Retail 26, Summit Wags Elgin, IL Retail 23,000 Kankakee Retail Kankakee, IL Retail 22, W North Avenue Oak Park, IL Retail 22,760 Schiller Park Commons Schiller Park, IL Retail 20, S. LaGrange Road Orland Park, IL Retail 18,000 Starbucks/Wise Road Schaumburg, IL Retail 16,000 Fox Valley Walk Aurora, IL Retail 15,450 Railway Plaza Naperville, IL Retail 15,247 CPK / Corner Bakery Warrenville, IL Retail 15,000 Blue Island Plaza Blue Island, IL Retail 14,454 Randall Crossing North Aurora, IL Retail 10, Jeffery Boulevard Chicago, IL Retail 9, N Milwaukee Glenview, IL Retail 8, S. Kedzie Chicago, IL Retail 8,000 Evergreen Park Towne Center Evergreen Park, IL Retail 7,780 Homewood Retail S Halsted Homewood, IL Retail 6, M-139 Highway Benton Harbor, MI Retail 6, N. Western Avenue Chicago, IL Retail 5, S Roselle Schaumburg, IL Retail 5, N Wells Chicago, IL Retail 1, Prospect Avenue Cleveland, OH Office 381,000 Glenlake Professional Center Glenview, IL Office 85, N. Main Street Mishawauka, IN Office 32, Greenbrook Blvd. Hanover Park, IL Office 31,000 Bluff Professional Center Clinton, IA Office 29, Midwest Road Oakbrook, IL Office 27, S. Greenleaf Park City, IL Office 22, N Lincoln Chicago, IL Office 8,025 Property Name Location Units 2638 Patriot Blvd. Glenview, IL Office 5, Dundee Road Northbrook, IL Office 5,295 Prosperity Place Janesville, WI Office 5, E Commercial Street Wood Dale, IL Office 4, Colonial Pkway Inverness, IL Office 4,455 New City YMCA - Land Chicago, IL Land 335,412 Highland Industrial Portfolio Ann Arbor, MI Industrial 459, Maple Street Des Plaines, IL Industrial 228,228 Kennedy Business Center Akron, OH Industrial 171, S. Torrence Chicago, IL Industrial 16, Classic Ct. Lake Barrington, IL Industrial 10, Howard Elk Grove Village, IL Industrial 8, Nicholas Boulevard Elk Grove Village, IL Industrial 5,700 Park Place Janesville, WI Multifamily 208 Conklin, Foxwood & Somerset Apts Rockford, IL Multifamily 124 Wilmington on Drexel Hyde Park (Chicago), ILMultifamily 122 Courtyard Apartments Belvidere, IL Multifamily 104 Columbia Apartments Rogers Park (Chicago)Multifamily 83 Towne Terrace Apartments Connersville, IL Multifamily Chase Rogers Park (Chicago)Multifamily 56 Maywood & Cicero Apartments Maywood & Cicero, IL Multifamily S. Stony Island Chicago, IL Multifamily E. Oak St. Addison, IL Multifamily 18 Markham Apartments Markham, IL Multifamily S. Central Avenue Cicero, IL Multifamily Lloyd Drive Worth, IL Multifamily Dickens Chicago, IL Multifamily Alexander Avenue Reedsburg, WI Multifamily N. Ashland Chicago, IL Multifamily S Honore Chicago, IL Multifamily N Lincoln Ave Addison, IL Multifamily N 1st Ave Melrose Park, IL Multifamily Michael Lane Addison, IL Multifamily S Ashland Chicago, IL Multifamily N Monticello Chicago, IL Multifamily N Sedgewick Chicago, IL Multifamily 2 TOTAL 4,092, Type SF

10 References John Maute Retired Senior Managing Director SITUS 2 Embarcadero Center, Suite 1300 San Francisco, CA johnmaute@gmail.com Luca Montalti Senior Vice President Torchlight Investors 475 Fifth Avenue, Suite 1500 New York, NY gmontalti@torchlightinvestors.com Gerald Nudo Principal Marc Realty 55 E. Jackson Blvd, Suite 500 Chicago, IL gnudo@marcrealty.com Andrew Hochberg President Next Realty 400 Skokie Blvd, Suite 800 Northbrook, IL ahochberg@nextrealty.com