Cronheim secures $92.5MM for 807,000 s/f Orange Plaza in Middletown, NY
MIDDLETOWN, NY — Andrew Stewart and Dev Morris have secured $92.5 million in financing for a power center located in Middletown, Orange County. The loan was structured with a 10 year term and 30 year amortization and was funded by American General Life Insurance Company, The United States Life Insurance Company in the City of New York, National Union Fire Insurance Company of Pittsburgh, PA, and American Home Assurance Company, whom Cronheim represents as correspondent and servicing agent. The interest rate was locked 11 months prior to closing.Orange Plaza is an 807,000 s/f power center situated at the southeast corner of Rte. 211 and Dunning Rd. in Middletown. Purchase, NY-based National Realty and Development Corp. (NRDC) acquired the property in 2001 and subsequently began a four year repositioning of the subject which included the demolition of approximately 600,000 s/f of enclosed mall space and creation of a unique stacked layout, as well as the construction of numerous outparcels. Currently, the subject is occupied by over 40 tenants including its anchors Walmart, Kohl’s, Burlington Coat Factory, and Home Depot. A variety of national, regional, and local retailers round out the tenant roster including Bed Bath & Beyond, Marshall’s, Ulta Cosmetics, Casual Male XL, Party City, Famous Footwear, Modell’s, and David’s Bridal, among many others. According to Andrew Stewart, “this property has been the dominant retail destination in its submarket since it was redeveloped. NRDC exceeded all expectations here that need to be seen to be appreciated.”
The subject is proximate to Rte. 17 which experiences traffic counts of 46,000 vehicles per day. Located just east of Orange Plaza across Rte. 17 is The Galleria at Crystal Run, one of the largest enclosed malls in the region and one of the primary retail centers in the local area. Tenants include Target, H&M, DSW, Macy’s, Sears, and JCPenney. Other well-known retailers in the trade area include Petco, Lowe’s, TJ Maxx, Home Goods, Petsmart, Hobby Lobby, Big Lots, and Toys and Babies “R” Us. Orange Plaza is managed by National Realty & Development Corp., a retail development and management firm in the Northeast. NRDC’s portfolio is comprised of 78 projects in 14 states, consisting of retail power centers, grocery-anchored community shopping centers, and corporate/industrial business parks.