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Contact: Anne Kazel-Wilcox Gold Coast Communications (561) 741-1010 akazel@goldcoastcommunications.com

New Orleans Retail Center Receives $20 Million from Pembrook Capital to Help Redevelopment After Damage by Katrina
-- 947,000 Sq. Ft. Oakwood Center, Set to Reopen this Fall, Previously a Top Revenue Producer in Jefferson Parish --

New York City – Pembrook Capital Management (“Pembrook Capital”), a real estate investment management company, announced that it has provided a $20 million portion of the $95 million senior mortgage refinancing for the reconstruction of The Oakwood Center Mall, a 947,000 square-foot, 68-acre regional mall in greater New Orleans. The center, which had been heavily damaged by Hurricane Katrina, will celebrate a milestone in New Orleans’ rebuilding efforts with its reopening this fall, marking one of the largest retail redevelopments in the wake of Katrina. The center is furthermore expected to create thousands of jobs, already provided employment for over 1,000 construction workers, engineers and architects during redevelopment. Pembrook Capital includes among its structured real estate debt investments, bridge and mezzanine financing, housing authority bonds, and preferred equity among others, with some of those being socially responsible investments that are also economically astute. “We have been anxious to invest in New Orleans redevelopment since it fits the community development core part of our mission,” said Stuart J. Boesky, Chief Executive Officer of Pembrook Capital Management. In regard to Oakwood Center, he added, “Oakwood’s modernized center is architecturally significant and full of amenities that will draw from a wide radius. The center’s rebuilding signifies what our firm is all about, helping to rebuild communities in smart ways.” According to The Brookings Institute, the New Orleans local economy continues to benefit from significant construction activity, as with Oakwood Center. The Brookings Institute “Katrina Index” for June 2007 shows a New Orleans that continues to repopulate with a moderately healthy housing market and new housing construction approvals up significantly in the last few months. Congress just approved provisions that will trigger federal repayment for critical repairs of roads, schools and other public facilities in the city. With the State of Louisiana also recently approving a comprehensive master plan that includes coastline and wetlands restoration in addition to the strengthening of the levees, Boesky says, “All signs point to a growing momentum for New Orleans rebuilding.” Oakwood Center, situated at 197 Westbank Expressway in Gretna, Louisiana, was noted by Jefferson Parish councilman Chris Roberts as being one of the top five sales tax producers for the parish. Pembrook Capital’s financing matures in

February 2008 with a one-time option to renew for 12 months. The loan is floating rate. The nearly 1 million square-foot shopping center will be anchored by Dillard’s, Sears (both currently open) and JCPenney. The center will also include three sitdown restaurants, 360,000 square feet of specialty shops and a 20,000-squarefoot food pavilion. Among other things, Pembrook’s financing will go toward some of the following improvements underway: 12 huge skylights illuminating Oakwood Center and its exposed steel ceilings; hundreds of small-dome skylights accentuated by colored light boxes; a large fountain centerpiece for the mall; reflooring with thousands of earth-toned porcelain tiles; soft seating areas complemented by modern, colorful couches and chairs; a family restroom with a nursery room, lounge and family room; seasonal kiosks to feature trendy merchandise; and the 20,000-square-foot food pavilion with seating for 300 people. Each hallway will be painted a different color for shopper convenience, and there will be new signage at all entrances. General Growth Properties, which is redeveloping Oakwood Center, is also managing the center. Pembrook’s investment in Oakwood adds to a growing list of CRA qualifying investments for the company. Other recent CRA-related investments include the financing of Native American infrastructure development, a shopping center in a low- to moderate-income census tract, and a hotel in an area of South Florida previously damaged by hurricanes, among others. General Growth Properties, Inc. (NYSE: GGP), is the second largest U.S.-based publicly traded real estate investment trust (REIT) based upon market capitalization. The REIT has ownership interest or management responsibility for a portfolio of more than 200 regional shopping malls in 45 states, along with centers in Brazil and Turkey. General Growth, www.ggp.com, also has ownership interest in master-planned community developments and commercial office centers. The company’s portfolio totals approximately 200 million square feet and includes more than 24,000 retail stores nationwide. Pembrook Capital Management provides capital to developers and owners of commercial real estate on a national basis. The company also seeks to serve as a pioneer in community investments, providing capital to underserved property sectors and underserved geographic locations such as assets in urban locations or in revitalization and empowerment zones, and other community-related investments. Pembrook Capital was founded by Stuart J. Boesky, the former CEO of CharterMac (now Centerline Capital Group), who led that firm to become one of the largest real estate financial services firms in the nation. Pembrook Capital is a strategic partnership with Mariner Investment Group, Inc., a major institutional fund manager that along with its affiliates manages more than $11 billion in assets. Pembrook Capital is a subsidiary of The Pembrook Group, www.pembrookgroup.com and headquartered in New York.


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