Village at Sandhills Town Center

Challenge

• The asset was an REO life-style center having suffered neglect during foreclosure cycle.
• Economic performance suffered due to co-tenancy and ineffective property management.
• Bifurcated ownership of Phases I, II & III contributed to operating inefficiencies.
• Loss mitigation challenge to liquidate and recover as much of original $57mm debt as feasible.

Strategy

• Maximized exposure and prospective buyer interaction using auction platform.
• Sell the story of Columbia, SC (#3 market in state) to out-of-town buyers.
• Highlight opportunity for reset and upside based on a deep value-add potential.
• Overcome JC Penney anchor credit weakness with multi-family use conversion scenario.
• Working effectively with property manager was essential to consummate sale.

Results

• Conducted a thorough and exhaustive effort to navigate the complexity of the opportunity.
• Leveraged a Regional and National buyer relationships to create demand inside auction.
• Successful coordination with winning bidder’s lender made all the difference to reach closing.
• Drove a novice buyer to exceed seller’s reserve threshold.