Perry of Wien & Malkin structures $28m recapitalization of Niagara Falls Outlet Ctr.

The Wien & Malkin Strategic V (SC V) program recently participated in a $28 million preferred equity investment in Fashion Outlets of Niagara Falls, a 530,000 s/f retail outlet center. The outlet center features tenants including: Saks, Nike, Old Navy, Polo Ralph Lauren, Brooks Brothers, Burberry, Coach and Banana Republic. The sponsor will use recapitalization proceeds to fund tenant improvement and leasing commissions associated with new leases and for additional capital improvement. Strategic Capital funded $14 million of the $28 million investment. The sponsor has redeveloped and repositioned shopping centers since 1980 throughout the U.S. Fashion Outlets of Niagara Falls was acquired out of receivership in 2005 and since that time it has outperformed most outlet centers in the U.S. The sponsor will complete its program of renovation, marketing, re-tenanting, and re-location of existing tenants to stabilize the property fully at a higher level of performance. Fashion Outlets of Niagara Falls is located at 1900 Military Rd. George Perry, senior VP and director of investments for W&M Properties which sources and structures investments for the Strategic Capital program said, "This demonstrates our ability and desire to deploy capital for sound assets during this capital constrained environment." The deal was structured by Perry. Allen O'Brien and Brian Tarter of IRE Capital and Jason Shapiro and Ezra Katz of Aztec Group, Inc. served as the mortgage brokers.