Machesney Gateway

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Machesney Park, (Chicago MSA), IL

 

     

Machesney Gateway is a 132,000 square foot Class A shopping center located in a regional retail notein Machesney Park, IL.

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The center is anchored by a new long term Hobby Lobby, Petsmart, and Office Depot. At the time of acquisition, the asset was 89.8% occupied representing a great value-add opportunity in a market with average occupancy over 95%.

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Machesney Gateway is located in a regional trade node on West Lane Rd. near N 2nd St. (42K vpd combined) - positioned between Target Supercenter and Home Depot as shadow anchors in an active retail corridor with many new leases such as Mejier (2015), Ulta (2017), Hobby Lobby (2018), Ross Dress for Less (2018), Old Navy (2019), Five Below (2019) and adjacent tenants like Menards, Kohl’s, TJ Maxx, Michaels, etc. Demographics in the area are strong with 80,000 people living in a 5 mile radius earning average incomes of $76,000. 

 

PMAT was able to acquire this center from a special servicer at a significant discount to the original basis, replacement cost, and market value. Short term anchor leases have been extended swiftly after acquisition. The only existing vacancies were filled with Dollar Tree and two smaller tenants. PMAT stabilized this asset & completed the business plan in only 6 months of ownership.