June 15, 2024
Aurora, CO – Essex Financial Group arranged a $13.0M loan for the acquisition of Summer Valley Shopping Center, a 95,669 SF retail center located in the southeast Denver metro area. Essex worked on behalf of the buyer to source the 10-year, fixed rate loan for the acquisition.
Summer Valley Shopping Center is currently 99% leased to a diverse group of 18 retailers. The Center is anchored by VASA Fitness, a leading operator of health clubs in the Western U.S. Dollar Tree is the junior anchor. The Property sits on an 8.7-acre site at the highly trafficked intersection of East Quincy Avenue and South Buckley Road. More than 62,000 vehicles travel this intersection daily which serves as a major retail node; King Soopers, Target and Lowe’s occupy the other corners of the intersection. Summer Valley Shopping Center is home to a diverse tenant mix that serves the 150,000 people living within a three-mile radius of the property.
According to Blaire Butler, Senior Vice President at Essex, “The lender was attracted to this property due to its superior location and strong historical performance. Additionally, the top-performing VASA as the anchor drives substantial traffic to the entirety of the shopping center. We continue to see strong lender appetite for well-located neighborhood retail.”
Essex secured the fixed-rate, non-recourse loan with one of its exclusive correspondent life insurance companies. The loan featured a competitive interest rate and had an interest-only component followed by a 30-year amortization. The ability to lock a fixed interest rate for 90 days prior to closing also served as a risk hedge throughout the due diligence period of the acquisition.
Essex’s Capital Markets team was led by Senior Vice President Blaire Butler and Associate Matt Perigard.
