63,000 square foot power retail center in Gilbert, AZ.
Appointed as Receiver on a $7.8M loan for a 63,000 square foot power retail center in Gilbert, AZ. Resolute Commercial acted as both the Receiver and Property Manager for the asset.
Resolute served a 6-month appointment as a Receiver for the property to stabilize the financial position and occupancy of the asset. The default was prompted by a vacancy of the anchor tenant and its overall drag on the performance and perception of the entire Retail project in the submarket.
Resolute’s property management efforts resulted in the correction of obvious inconsistencies in existing leases, reduction of operational expenses, and major deferred maintenance issues related to roofs, parking lots and HVAC. Additionally, our proactive marketing efforts repositioned the property within the submarket and led to an overall increase in leasing activity/occupancy.
Upon our appointment the occupancy at the property was just under 45%, with the implementation of our comprehensive marketing strategy Resolute was able to cultivate a new lease for the vacant Anchor Space to a new 25,000 square-foot Fitness Tenant for a 7-year term. This new tenant and two others have breathed new life and vitality into the project and raised the overall occupancy to nearly 90%.
Resolute successfully turned around a rapidly deteriorating retail asset and in a very challenging market by finding a new Big Box Tenant and adding life to otherwise generic retail center.