Property Portfolio Sold to New Owners

Challenge

Amidst the flourishing economy and favorable interest rates, a prominent developer aimed to unlock capital for further expansion in West Texas, specifically targeting the development of shopping centers. Managing an extensive portfolio of approximately 80-100 properties, the developer recognized the opportune moment to initiate new projects
and leverage the region’s rapid economic growth.

To harness the full potential of this thriving economy, the developer sought to divest several centers within the current inventory. Each property posed unique challenges, including time-sensitive Tenant Allowance notes, rental incentives that didn’t factor into net operating income, and various other intricacies. Maximizing the sales price became paramount to secure the necessary capital for funding future endeavors.

Action

In a strategic collaboration, the developer enlisted the expertise of Jordan Wood and Beau Tucker from the esteemed Coldwell Banker Commercial, Capital Advisor team to ensure maximum value extraction from their portfolio of disposition properties. Jordan and Beau embarked on an extensive endeavor, meticulously analyzing leases, preparing compelling marketing materials, and executing a robust marketing campaign. Crafting detailed offering memorandums became their specialty, presenting all pertinent facts while shining a light on any unique intricacies associated with each property.

Proactively reaching out to potential buyers who could discern the value these properties offered, they emphasized the value-add component present in all three properties due to their leasing at below-market rents. The duo left no stone unturned in conveying the potential for additional value creation to every prospective investor, fostering clear communication throughout the process.

Result

Jordan and Beau wasted no time in attracting multiple interested parties to the negotiation table, swiftly generating several acceptable offers for the developer. Their exceptional expertise even extended to providing backup offers, ensuring contingencies in case any contracts fell through. With unwavering dedication, they maintained active involvement and open lines of communication, diligently guiding both buyers and sellers throughout each transaction’s journey. The seamless execution from start to finish left all parties satisfied.

Having successfully closed all three transactions, the seller rejoiced as the necessary funds flowed in, enabling the continued expansion of their development portfolio. The buyers, on the other hand, acquired robust retail centers and experienced the gradual realization of added value through new leases and lease renewals at market rental rates. Notably, the seller leveraged the opportunity to construct three new shopping centers along the burgeoning retail corridor, drastically elevating their net worth and portfolio
value.

Testimonial

“Jordan and Beau were an absolute pleasure to work with. Their unwavering commitment to their promises sets them apart from the rest. They not only articulate their plans clearly but also execute them meticulously, consistently delivering on their word. Their exceptional communication skills are truly commendable. Their profound expertise in real estate investments makes them my go-to partners for future endeavors.” 

-MS-

Jordan

For More Information, contact:

Jordan Wood, CCIM
Investment Specialist
jordan.wood@cbclubbock.com
(806) 317-4666