Done Deals: HFF announces $7 million refinancing for grocery-anchored retail center in suburban Minneapolis, MN

Thursday, January 31, 2019

HFF announces $7 million refinancing for grocery-anchored retail center in suburban Minneapolis, MN

Chris Drew

MIAMI, FL –– Holliday Fenoglio Fowler, L.P. (HFF) announces the $7 million financing for Burnsville Market, a 137,396-square-foot, Club Foods-anchored retail center in the Minneapolis community of Burnsville, Minnesota.

The HFF team worked on behalf of the borrower, Sterling Organization, to place the three-year, fixed-rate bridge loan with RGA Reinsurance Company.

Loan proceeds will be used to implement the borrower’s redevelopment plans.

Situated on 16.49 acres at 1750 County Road 42 West, Burnsville Market is in the heart of the dominant retail corridor that serves the southern Minneapolis MSA.

The center’s excellent visibility exposes it to more than 183,000 vehicles per day, and more than 69,000 residents earning an average annual household income of $87,497 live within three miles of the property.

Nat Scarmazzi

The HFF debt placement team included senior managing director Chris Drew, senior director Nat Scarmazzi and associate Matthew McCormack, along with managing director Jules Sherwood, a licensed Minnesota real estate broker.

“The Sterling Organization purchased the asset opportunistically and will begin to reposition the center to capitalize on the phenomenal market fundamentals and stellar demographics,” Scarmazzi said.

“RGA understands the market and, more importantly, the quality of the sponsorship, which allowed them to execute in a compressed closing timeline.”

Sterling Organization is a vertically integrated private equity real estate firm that has an established track record of providing exceptional risk-adjusted returns to its partners, in both relative and absolute terms.

Matthew McCormack

The company’s national platform is focused on investing in value-add retail real estate assets and stabilized/core grocery-anchored shopping centers in major markets across the United States on behalf of Sterling’s principals in partnership with the highest quality institutional investors.

Sterling Organization is headquartered in Palm Beach, Florida. for more information.

HFF and its affiliates operate out of 26 offices and are a leading provider of commercial real estate and capital markets services to the global commercial real estate industry.

Jules Sherwood

HFF, together with its affiliates, offers clients a fully integrated capital markets platform, including debt placement, investment advisory, equity placement, funds marketing, M&A and corporate advisory, loan sales and loan servicing.

HFF, HFF Real Estate Limited, HFF Securities L.P. and HFF Securities Limited are owned by HFF, Inc. (NYSE: HF).

For more information, please visit

hfflp.com or follow HFF on Twitter @HFF.