WP Realty Inc. recently closed on its newest equity fund, WP Real Estate Fund V L.P. The fund secured commitments of approximately $120 million of equity, which will enable WP Realty to acquire upwards of $400 million of real estate. This is the fifth real estate equity fund for the company, which specializes in turning around underperforming centers, using expert management and redevelopment strategies.
Initially, the company acquired properties on a one-off basis. In 1998, WP Realty formed a strategic relationship with Harvard Private Capital Group, an affiliate of Harvard University’s endowment fund and Lubert-Adler, a Philadelphia-based real estate investment firm. Its first investment fund with these prominent partners generated equity commitments sufficient to acquire in excess of $200 million of real estate. From August 2000 to May 2006, WP Realty established three more investment funds with these co-venture partners with additional equity commitments sufficient to acquire in excess of $1.2 billion of real estate.
Since its founding, the company, headquartered in Bryn Mawr, Pa., has invested approximately $1 billion of capital and acquired more than sixty shopping centers across 12 states.Other Notable Deals
Behringer Harvard announced the formation of Behringer Harvard German Retail LP, a joint venture with Rahlfs Immobilien GmbH focused on building a portfolio of retail properties in Germany. Initial investments include six retail properties in the Hannover region of northern Germany. Through this joint venture, Behringer Harvard has become both a mezzanine lender and an equity partner in the initial portfolio…. Newcastle Properties LLC, a commercial real estate investor and real estate advisory firm, today announced the acquisition of a portfolio of nine CVS drugstores located across six states for approximately $30 million. All store locations are drive-through pharmacy equipped, range in size between 12,900 and 13,225 square-feet. All stores are occupied by affiliates of CVS/Caremark under 25-year triple net leases. Newcastle acquired the portfolio on behalf of SVC Equity Partners LLC. Newcastle was represented by Becker & Gurian…. Federal Realty Investment Trust completed a land exchange with IKEA at Assembly Square in Somerville, Mass. As a result of the exchange, Federal Realty now owns an additional 16.6 acres of riverfront property for the proposed development of Assembly on the Mystic, while IKEA owns an 11.9 acre inland site approved for a 340,000-square-foot store…. Cohen and Company, Inc. Real Estate announced the sale of the 115,000-square-foot Brick Center Plaza in Brick, N.J. The firm represented a private real estate company in the acquisition…. Mid-America Real Estate Corp.’s Investment Sales 1031 Net Lease Group recently closed on the sale of 14,820-square foot Walgreens in > Aurora, Ill. A private investor in Nebraska purchased the store for an undisclosed amount from TMK Development/Inland Real Estate…. RealtyLink LLC announced the sale of a 3,976 square foot Denny’s restaurant in Charleston, S.C. Denny’s is on a 20 year absolute NNN lease with 10 percent rent bumps every 5 years. The transaction closed escrow on October 10, 2009 for about $2.4 million. The buyer was a private group of investors out of upstate South Carolina. RealtyLink Investment Services represented the seller.