ALBANY, Ore.--(BUSINESS WIRE)--Fred Sands, Chairman of Vintage Real Estate, announced today that the company has acquired the approximately 406,500-square-foot Heritage Mall in Albany, Oregon. Heritage Mall is a major shopping destination for the city and Linn County with more than 52 major retailers, boutiques and restaurants including Target, Sears, Ross Dress for Less and Old Navy, Maurice’s, rue 21, Zumiez, Famous Footwear, Game Stop and Bath & Body Works.
“Along with discussions already in progress for numerous additional national tenants, we have identified a replacement anchor for the vacant Gottschalks space. This new anchor tenant, along with the planned redevelopment, will generate significant new customer traffic and allow Vintage to upgrade the existing tenant mix and increase occupancy.”
“Heritage Mall is well-located in the center of Albany, which is one of the fastest growing cities in Oregon. We have the capacity, both in terms of capital and management, to reposition the mall and improve its performance by adding many national tenants. It is a strong addition to our retail real estate portfolio,” noted Sands. This is the first retail property investment for Vintage in Oregon. The company focuses on retail properties and owns numerous properties in California, Washington and other states in the U.S.
Heritage Mall, located at 1895 14th Avenue SE, is set on 33 acres just west of Interstate 5, the region’s major thoroughfare, and is just north of Corvallis, home of Oregon State University and its more than 26,000 students. The mall was remodeled in 2006 and currently is 50 percent occupied.
“The mall is a solid property with tremendous potential in a strong market. We have a long-term strategy that builds on the strengths of this asset such as its central location and the recent property improvements. With our retail relationships and experience we can re-merchandise the mall and enhance its appeal to consumers throughout the region,” said Charlie Christensen, Executive V.P. Asset Management, Vintage Real Estate.
Roger Burghdorf, Executive V.P. of Leasing for Vintage adds, “Along with discussions already in progress for numerous additional national tenants, we have identified a replacement anchor for the vacant Gottschalks space. This new anchor tenant, along with the planned redevelopment, will generate significant new customer traffic and allow Vintage to upgrade the existing tenant mix and increase occupancy.”
Vintage Real Estate acquired the mall from a consortium of lenders. This transaction removed $38 million in debt from the property.
ABOUT FRED SANDS AND VINTAGE REAL ESTATE
Sands formed Vintage Capital Group in 2001 to continue his private investment activities in commercial real estate and operating businesses of the past two decades. Sands previously owned Fred Sands Realtors, California’s largest independent residential real estate brokerage and financial services companies. Sands sold Fred Sands Realtors to Coldwell Banker in November 2000. Vintage Capital Group is headquartered in Los Angeles in the same Brentwood high-rise that Sands has owned and occupied for decades. While Sands was highly visible in the residential real estate arena, he also invested in commercial real estate including retail centers. Today Vintage Real Estate, a wholly-owned division of Vintage Capital, owns and manages a variety of retail centers, including regional malls, across the country. The company’s focus is on acquiring underperforming properties where its experienced retail team can apply its proven approach to repositioning and improving troubled centers. Sands also founded Vintage Fund Management, a private equity fund focused on investing in established middle market businesses that seek a long term capital solution and partner to provide financial and operational assistance to grow and expand. Additional information can be found at www.vintagecapitalgroup.com, www.vintage-vre.com and www.vintage-vfm.com.