Erie Commons & Great Lakes Plaza

Mentor | Ohio

Erie Commons & Great Lakes Plaza

7900 Plaza Blvd Mentor, OH 44060

Offering Summary

  • Status: under contract
  • Price: CFO 10/5/2022
  • GLA: 312,866 SF
  • NOI: $1,411,790
  • Net Operating Income: $1,411,790
  • Lot Size (Acres): 31.44
  • Major Tenants: At Home, Joann, Petitti Garen Denter, Chuck E Cheese, Burlington, Michael's, HobbyTown, Famous Footwear

Portfolio Highlights

  • 72.2% Occupied, 312,866 SF Portfolio of Two Community Centers in Affluent Cleveland Suburb
  • Individual Assets Located Directly Adjacent to Each Other; Synergy for Package Acquisition
  • Strong Value-Add Potential via Lease-Up of 27.8% Vacant GLA Consisting of One 69K SF Box Vacancy, One 10K SF Jr. Box Vacancy, & Two Shop Vacancies Totaling 7K SF
  • Projected 60% (+$854K) NOI Increase Through Lease-Up Occupancy Stabilization
  • 97.6% of Occupied GLA (10 of 13 Tenants) are National or Regional Retailers; Only 5,348 SF Leased to Local Tenants
  • Portfolio NOI of $4.51/SF, Providing an Opportunity to Acquire Both Assets Well-Below Replacement Cost
  • At Home, JO-ANN, Burlington, Petitti & Michaels Comprise 84% of Occupied GLA & 77% of Rent & Reimbursement Revenue
  • Offered Free & Clear of Debt – Allowing Prospective Purchaser an Opportunity to Coordinate Bridge or Perm Financing According to Investment Strategy
  • Attractive Bank and Bridge Debt Options Available – See Debt Matrix, and Contact Agent for Details
  • Shadowed by 1.2 Million SF Great Lakes Mall with Tenants Including Dick’s Sporting Goods, Dillard’s, JCPenney, Round1 Entertainment, Planet Fitness & More
  • 97% of Roofs Replaced 2012 – 2019 (2027 – 2039 Warranties); 22% in 2012 / 52% in 2014 / 4% in 2015 / 19% in 2019Just
  • Off Mentor Ave with 18,000 Cars/Day; Additional Traffic from Johnnycake Ridge Rd with 9,000 Cars/Day
  • Affluent/Dense Demographics: $71-$82K 1/3/5-Mile AHHI; 107,303 Five-Mile Population
  • Situated within Prominent Mentor Ave Retail Node with Over 3.5 Million SF of Retail Including Aldi, T.J. Maxx, Ross, Marshalls, Best Buy, Hobby Lobby, Value City Furniture, Levin Furniture, Barnes & Noble, Marc’s, and Dozens of Restaurants
  • Cleveland MSA – Home to a Population of Over 2 Million, Part of the Larger Cleveland-Akron-Canton CSA with a Population of 3.5 Million

Erie Commons

  • 68% Occupied, 232,386 SF Value-Add Shopping Center
  • Projected 76% (+$712K) NOI Increase Projected Through Lease-Up Occupancy Stabilization
  • Anchored by At Home (36.8% of GLA) on NNN Lease thru February 2025
  • Replaceable Rents Averaging $8.15/SF NNN
  • Co-Anchored by JO-ANN (15.7% of GLA) on NNN Lease thru January 2025 & Petitti Garden Center (8.3% of GLA) Leased thru April 2031
  • Immense Value-Add Opportunity in Backfilling of 69,490 SF Former Giant Eagle Box (30.2% of GLA) with Projected Potential Rent of $10/SF
  • Petitti is a Prominent Regional Garden Center Chain in Business 50+ Years with Nine Locations throughout Northern Ohio
  • Shop Tenants Include Chuck E. Cheese, Spectrum, Huntington Learning Center & 2 Local Salons
  • 100% of Roofs Replaced Since 2012 (2027 – 2029 Warranties); 70% Installed in 2014 (2029 Warranty)
  • 7 of 8 Tenants are Structured on NNN Leases

Great Lakes Plaza

  • 84% Occupied, 80,480 SF Value-Add Shopping Center
  • Anchored by Burlington (40.2% of GLA) – New Tenant in 2019 on NNN Lease thru February 2030
  • Co-Anchored by Michaels (22% of GLA) on NNN Lease thru February 2024
  • National Small-Shop Tenants Include Hobby Town (10.4% of GLA) and Famous Footwear (7.7% of GLA)
  • Replaceable Rents Averaging $8.39/SF NNN
  • Upside via Lease-Up of Two Vacancies – 10,095 SF and 3,100 – Totaling 16.4% of GLA with Projected Potential Rent of $8-11/SF NNN
  • 100% of Tenants Structured on NNN Leases
  • 87% of Roofs Replaced Since 2015 (2035 – 2039 Warranties); 73% Installed in 2019 (2039 Warranty)
  • Strong 78% Recovery of TAX/CAM/INS Expenses on 83% Physical Occupancy
  • Strong Cross-Traffic via Sandwiched between Best Buy + Ashley Furniture Center to North; At Home + Jo-Ann + Petitti Anchored Center to South
EXCLUSIVELY LISTED BY:

Scott Wiles

Senior Managing Director