The Retail Opportunity

The current real estate equity and debt markets are creating a window of opportunity for buyers of retail real estate. The lack of liquidity and the stress in the market caused by falling rents, reduced occupancies and expanding capitalization rates has resulted in reduced pricing. Moreover, the real estate and capital markets' dislocation has further re-priced real estate equities in favor of the purchaser at levels not seen since the early 1990's. We intend to take advantage of this buyer’s market.

American corporations, seeking to reduce the costs of distributing their goods and services, are beginning to re-evaluate supply chain management and distribution/warehouse capabilities. We believe that this has led to an increased need for well-located real estate from which corporations may cost-efficiently aggregate from suppliers and deploy to their regional retail stores. We consider these operationally essential categories as complementary to our overall portfolio.