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Inland Real Estate Corporation Joint Venture Acquires Walmart-Anchored Shopping Centers in Milwaukee Market
OAK BROOK, Ill.--(BUSINESS WIRE)-- Inland Real Estate Corporation (NYS: IRC) today announced that its joint venture with Dutch pension fund advisor PGGM has acquired a portfolio of three Walmart-anchored shopping centers in the Milwaukee market for a total purchase price of $24.2 million, subject to future earn out payments. The portfolio totals approximately 174,500 square feet of retail space and was acquired from a regional developer in an off-market transaction.
"We continue to grow our platform through the acquisition of high-quality properties which strengthen the credit quality of our tenant base, as well as improve the diversification metrics and growth profile of our portfolio," said Scott Carr, chief investment officer for Inland Real Estate Corporation. "In addition, our ability to acquire these assets through our joint venture with PGGM allows us to leverage our partner's capital and achieve an attractive return on our equity, while retaining the option to increase our ownership interest in the future."
The portfolio includes the 62,307-square-foot Capital and 124th shopping center in Wauwatosa, Wis.; the 71,927-square-foot Pilgrim Village shopping center in Menomonee Falls, Wis.; and the 40,302-square-foot Timmerman Plaza in Milwaukee, Wis. The property details are as follows:
- The Capitol and 124th shopping center is 100 percent leased and anchored by a new 38,093-square-foot Walmart Neighborhood Market and a 13,000-square-foot Petco store. The city of Wauwatosa, Wis. is located approximately eight miles northwest of downtown Milwaukee. The shopping center is situated within a dense trade area, drawing from a population base of approximately 77,600 with an average household income of nearly $68,300 within a 3-mile radius.
- The 100 percent leased Pilgrim Village shopping center is anchored by a new 40,596-square-foot Walmart Neighborhood Market on a ground lease, with the balance of the center leased to a restaurant, hair salon and wine shop. Also included in the purchase are three outparcels to be developed. The city of Menomonee Falls is located approximately 14 miles northwest of downtown Milwaukee. Pilgrim Village is well-located at the busy intersection of Pilgrim Drive and Main Street next to Highway 45 and supported by average household income of more than $75,000 within a three-mile radius.
- The Timmerman Plaza property is shadow anchored by a new Walmart Supercenter and a Pick N Save grocery store (Roundy's Inc.). Included in the acquisition are a 12,000-square-foot store leased to Dollar Tree and a recently renovated 28,300-square-foot multi-tenant retail building. The property is located in the northwest corridor of Milwaukee and draws from a population base of approximately 99,300 with average household income of over $53,300 within a three-mile radius.
About Inland Real Estate Corporation
Inland Real Estate Corporation is a self-administered and self-managed publicly traded real estate investment trust (REIT) that owns and operates open-air neighborhood, community, power and lifestyle retail centers and single-tenant properties located primarily in the Midwestern United States. As of June 30, 2013, the Company owned interests in 154 investment properties, including 40 owned through its unconsolidated joint ventures, with aggregate leasable space of approximately 15 million square feet. For additional information, please visit www.inlandrealestate.com. To connect with Inland Real Estate Corporation via LinkedIn, please visit http://www.linkedin.com/company/inland-real-estate-corporation, or via Twitter at www.twitter.com/IRC_REIT.
Certain statements in this news release constitute "forward-looking statements" within the meaning of the Federal Private Securities Litigation Reform Act of 1995. Forward-looking statements are statements that do not reflect historical facts and instead reflect our management's intentions, beliefs, expectations, plans or predictions of the future. Forward-looking statements can often be identified by words such as "believe," "expect," "anticipate," "intend," "estimate," "may," "will," "should" and "could." Examples of forward-looking statements include, but are not limited to, statements that describe or contain information related to matters such as management's intent, belief or expectation with respect to our financial performance, investment strategy or our portfolio, our ability to address debt maturities, our cash flows, our growth prospects, the value of our assets, our joint venture commitments and the amount and timing of anticipated future cash distributions. Forward-looking statements reflect the intent, belief or expectations of our management based on their knowledge and understanding of the business and industry and their assumptions, beliefs and expectations with respect to the market for commercial real estate, the U.S. economy and other future conditions. These statements are not guarantees of future performance, and investors should not place undue reliance on forward-looking statements. Actual results may differ materially from those expressed or forecasted in forward-looking statements due to a variety of risks, uncertainties and other factors, including but not limited to the factors listed and described under Item 1A"Risk Factors" in our Annual Report on Form 10-K for the year ended December 31, 2012, as filed with the Securities and Exchange Commission (the "SEC") on February 28, 2013 as they may be revised or supplemented by us in subsequent Reports on Form 10-Q and other filings with the SEC. Among such risks, uncertainties and other factors are market and economic challenges experienced by the U.S. economy or real estate industry as a whole, including dislocations and liquidity disruptions in the credit markets; the inability of tenants to continue paying their rent obligations due to bankruptcy, insolvency or a general downturn in their business; competition for real estate assets and tenants; impairment charges; the availability of cash flow from operating activities for distributions and capital expenditures; our ability to refinance maturing debt or to obtain new financing on attractive terms; future increases in interest rates; actions or failures by our joint venture partners, including development partners; and factors that could affect our ability to qualify as a real estate investment trust. The Company undertakes no obligation to update or revise forward-looking statements to reflect changed assumptions, the occurrence of unanticipated events or changes to future operating results.
Inland Real Estate Corporation Contacts:
Dawn Benchelt, Assistant Vice President/Investor Relations Director
Beth Hicks, Assistant Vice President/Marketing Director
KEYWORDS: United States Europe North America Netherlands Illinois Wisconsin
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