NEW YORK CITY—Rockwood Real Estate Advisors, a full-service real estate investment banking firm, has arranged the sale of Northgate Mall in Cincinnati, Ohio on behalf of E3 Advisors, a court-appointed receiver.
Sold for $21.5 million, Northgate Mall is a 915,956-sq.-ft. regional mall located in the Northwest quadrant of Cincinnati in Colerain Township, directly south of Interstate 275. The purchaser is an affiliate of Tabani Group Inc., a-based company with holdings in 14 states, including shopping centers, development projects, hotels and office buildings.
Northgate Mall has been under the control of a court- appointed receiver since 2009, and is considered to be “distressed” given the large vacancies and required capital necessary to stabilize the asset. Rockwood provided investors with a “road map” to stabilize the mall by identifying various new tenants who would be a good fit for the market and asset, and by presenting a plan to gain control of both the former JC Penney parcel and vacant Dillard’s box. Rockwood also facilitated the introduction of investors to Colerain Township Economicofficials – as the Township’s commitment and support provided additional certainty to the future success of Northgate Mall.
Northgate Mall was constructed in 1971/72 and expanded in 1991 with the addition of Macy’s and a two-level parking garage. The mall has undergone numerous renovations and upgrades, with the most recent improvements occurring in 2007 which included exterior and interior improvements, as well as the removal of the former JC Penney anchor building. The property as a whole (all ownerships) is comprised of approximately 915,956 sq. ft. Sears (180,260 sq. ft.) and the vacant Dillard’s (203,062 sq. ft.) are separately owned, and the parcel that was formerly occupied by JC Penney is also separately owned. The collateral represented in this sale consists of 555,696 sq. ft., which includes the 180,000-sq.-ft. Macy’s, 259,066 sq. ft. of in-line space, 50,177 sq. ft. comprised of famous labels and 43,391 sq. ft. of outparcel space.