by Adriana Pop, Associate Editor
In an off-market transaction, a joint venture between Inland Real Estate Corp. and Dutch pension fund advisor PGGM has paid $24.2 million to acquire three Walmart-anchored shopping centers in the Milwaukee area.
The 174,500-square-foot portfolio includes the 62,307-square-foot Capitol and 124th shopping center in Wauwatosa; the 71,927-square-foot Pilgrim Village shopping center in Menomonee Falls; and the 40,302-square-foot Timmerman Plaza in Milwaukee. According to The Business Journal, Gatlin Development Co. built the three centers in 2010.
“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 Inland Real Estate Corp. chief investment officer Scott Carr in a statement. “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.”
In other acquisition news, BizTimes reports that Badger Investments L.L.C. has purchased the 96-year-old Phoenix Building in Milwaukee’s Third Ward neighborhood for $4.5 million. Phoenix Building L.L.C .was the seller of the 120,000-square-foot office property at 219-39 N. Milwaukee St. Patrick Gallagher and Matson Holbrook of Siegel-Gallagher Inc. represented the buyer, while Jack Jacobson of NAI MLG Commercial represented the seller.
Built in 1917 as a manufacturing facility for Phoenix Hosiery Co., the seven-story building was later converted to offices and is listed on the National Register of Historic Places. Its tenant roster includes the Historic Third Ward Association, the Richard & Ethel Herzfeld Foundation, U.S. Rep. Gwen Moore, Tory Folliard Gallery, Dickens Books, Culver Design, Eichenbaum & Associates, Stark Media and investment banking firm Grace-Mathews.
“We love the Third Ward as it reminds us of SoHo in New York and River West in Chicago where old industrial areas of those cities were transformed into progressive areas to live and work,” Badger Investments co-owner Jim Swernoff told the newspaper.
Photo credits: Gatlin Development