Ann Arbor's McKinley appointed receiver of major retail development near Brighton
McKinley Inc was appointed receiver of the Green Oak Village Place shopping center in the Brighton area.
Photo by Dwight Burdette
The company was appointed receiver of the Greek Oak Village Place shopping center, developed in phases by Lormax Stern, REDICO and Quadrants Inc. beginning in 2005.
“Our job is to stabilize the property, maximize the occupancy and the value in its current condition, so we’re setting forth to do that,” said McKinley CEO Albert Berriz.
The development, located along U.S.-23 just south of I-96, was constructed in phases starting in 2005. Tenants include Old Navy, Dick’s Sporting Goods, J.C. Penney, Johnny Carino’s and Buffalo Wild Wings, among others.
When the project was built, expected to cost more than $100 million, it created a regional shopping destination for the areas surrounding Brighton. It was nominated for a Deal of the Year award by the Ann Arbor Business Review in the retail category in 2007. But following failed mortgage payments and a foreclosure, McKinley was appointed to stabilize the property and raise the occupancy levels.
Berriz said occupancy is at 89 percent, and his team is evaluating any outstanding issues with the property. He said a healthy occupancy for a development of that size is about 93 to 95 percent.
"It's a good property, it just needs attention," he said.
McKinley would then position the property for a sale.
Berriz said McKinley will hire a leasing team — similar to what the company did with the former Borders headquarters in Ann Arbor. McKinley was appointed as property and asset manager for the 330,000-square-foot office building and hired Colliers International’s Ann Arbor office to market the building for sale. It was sold this month for close to the $6.9 million listing price, Berriz said.
Berriz said he doesn’t have a timeframe for when he’d like to have occupancy levels at 95 percent, but said McKinley already has turned its attention to the property.
“I think it’s an important retail asset for the Ann Arbor community,” Berriz said. “It is a large shopping center that a lot of Ann Arborites shop at.”
Founded in 1968, McKinley specializes in real estate investment, receiverships, property management, construction management and leasing. The company recently has acquired several apartment complexes in the Ann Arbor area. Berriz said McKinley owns one property in Brighton on Grand River Avenue.
Lizzy Alfs is a business reporter for AnnArbor.com. Reach her at 734-623-2584 or email her at lizzyalfs@annarbor.com. Follow her on Twitter at http://twitter.com/lizzyalfs.
Comments
Sully
Tue, Feb 12, 2013 : 5:41 p.m.
I'll stop there occasionally if I think of something to pick up on the way back from work, since it's the way, but most of these stores are in Ann Arbor or Pittsfield now, so I usually go shopping closer to home. Also, I can't count how many times I've ended up back on the highway after making a wrong turn on the roundabout.
Kevin Mc Donnell
Tue, Feb 12, 2013 : 5:28 p.m.
There is a great Irish Pub Sports Bar Jameson's. Great atmosphere, food and drink specials. Wednesdays is jammed and St.Patty's Day is a huge event
mtlaurel
Tue, Feb 12, 2013 : 6:33 p.m.
that might help-after a few,go shopping...oh wait-the stores close??
B2Pilot
Tue, Feb 12, 2013 : 5:54 p.m.
Thanks I was trying to remember the name of that place, I met some friends there last fall and had a great meal enjoyed the atmosphere.
dancinginmysoul
Tue, Feb 12, 2013 : 5:18 p.m.
It's the same stores and same stuff you can find at any strip mall in the country. There's nothing about this particular area of stores that's any more or any less of a draw (for me and my family anyway). The traffic is a problem. Isn't the only way in or out through the 23 over pass? Buy local!
Macabre Sunset
Tue, Feb 12, 2013 : 5:27 p.m.
No. You can get there from Silver Lake Rd. using Fieldcrest. And the traffic is actually far lighter than around just about any strip mall I've ever seen. It's just not a particularly interesting or large set of chain stores.
Sandi
Tue, Feb 12, 2013 : 4:55 p.m.
I guess I'm the minority! I love shopping there. The Costco is better, the Home Goods is better. Their stores seem bigger with more choices. I do not like Briarwood at all and our new Costco seems bare to me, both merchandise and of customers.
Macabre Sunset
Tue, Feb 12, 2013 : 4:09 p.m.
Locals seem to hate the triple round-about. It keeps traffic flowing, but a lot of drivers simply avoid the area because they can't be bothered to learn how to use a roundabout. I don't go there much because it's more a retail oasis plopped in the middle of nowhere and doesn't really have any draw stores. Just more chain stuff you can find elsewhere. If you're going to take the time to get on the highway and go to a retail oasis, might as well go another 15 miles to the outlet farm in Fowlerville.
ThinkingOne
Tue, Feb 12, 2013 : 3:49 p.m.
Lizzy The only times I have gone into that mall are 1. when a local store doesn't have a particular item/size/color in stock but they have a store there in the mall that does AND they will hold it for me. 2. I am in the area and need to kill some time. I don't fine the roundabouts to be an ongoing concern, but the first time through you need to pay a lot of attention. BTW check spelling in 1st line of 2nd paragraph.
a2grateful
Tue, Feb 12, 2013 : 2:48 p.m.
Have never been there. . . No plans to go. . . Drive by it often. . . No attraction to visit, whatsoever. . . Deal of the year? Maybe for a developer that skulked away with construction profit. . . Not so much for the bank and investors. . .
JRW
Tue, Feb 12, 2013 : 2:44 p.m.
Totally redundant with same shops in AA. The triple roundabout nearby is a nuisance. Unfortunately, they are going to build a totally unnecessary roundabout near Costco in AA, at State and Ellsworth, where big semis drive through frequently. Bad decision. There is an oversaturation of retail in the Brighton--AA area. They keep building more, which makes no sense. Not all will survive. Dick's Sporting Goods is very overpriced.
Hmm
Tue, Feb 12, 2013 : 7:11 p.m.
If I need sporting goods I will go to Dunham's over Dick's everytime
An Arborigine
Tue, Feb 12, 2013 : 2:38 p.m.
Bob's your uncle!
gary
Tue, Feb 12, 2013 : 2:18 p.m.
Are they going to paint all the signs black and hide them in an unlit area so nobody can tell which building is which like they do with their apartment complexes?
HB11
Tue, Feb 12, 2013 : 1:10 p.m.
Since the opening of the Costco in Ann Arbor, I am sure many of those stores saw a drop in business. Why would the complex draw people from Ann Arbor when a majority of the same large retailers may be found closer. AA has Costco, BWW, Home Goods, Kohl's, Dick's, JCPenney, Honey Baked Ham, etc.
Paula Gardner
Tue, Feb 12, 2013 : 12:56 p.m.
This was fairly progressive when it was proposed - the 'lifestyle center' was all the real-estate rage. I went to the groundbreaking event and spent some time there a few years ago, because it was a convenient shop when I was in the US-23 and I-96 area anyway. But as a commenter pointed out, many of the stores that were regional draws at the time have opened in Ann Arbor, like Dick's Sporting Goods and White House/Black Market. So it's now more of a local shopping destination and more telling of the shopping power of the Brighton area than a bigger area.
jgold47
Tue, Feb 12, 2013 : 6:25 p.m.
you also have to remember that Livingston County was one of the fastest growing counties in the state back then. a lot of that development was predicated on the growth that never fully happened. as the rest of those retailers have expanded in the area, the trade area for this center shrunk down to an unsustainable level due to the lack of growth.
Suzanne
Tue, Feb 12, 2013 : 12:56 p.m.
I go past it every day but the only way you will get me to go there is to remove that triple roundabout...very scary and confusing!
dancinginmysoul
Tue, Feb 12, 2013 : 5:16 p.m.
I hate this roundabout so much we actually avoid this area completely. And we live around this area.
DennisP
Tue, Feb 12, 2013 : 12:11 p.m.
"Berriz said occupancy is at 89 percent, and his team is evaluating any outstanding issues with the property. He said a healthy vacancy rate for a development of that size is about 93 to 95 percent." Wow, a "vacancy rate" of 93-95% is healthy???? First, you probably mean "occupancy". Second, it's not a "rate" because rates measure something against time. It would be more correct to call it an occupancy percentage, occupancy factor or occupancy ratio.
Lizzy Alfs
Tue, Feb 12, 2013 : 12:40 p.m.
Haha thanks. A 95 percent vacancy wouldn't be good for anyone!
mtlaurel
Tue, Feb 12, 2013 : 11:49 a.m.
...a large shopping center that you'd LIKE more Ann Arbor-ites to shop at.....maybe best to get some "Brighton-ites" to up the sale volume first. I've never shopped there and don't think"Ann Arbor- ites" shop there.I can't think of one reason I'd shop there.
Lizzy Alfs
Tue, Feb 12, 2013 : 11:41 a.m.
Does anyone go here to shop/dine? I'm wondering if it's a draw for Ann Arborites.
Chimay
Tue, Feb 12, 2013 : 4:18 p.m.
The only time I stop there is when I am on the way to a point north or west and need something specific, like when my sunglasses broke, or when I've been asked to stop at that awful Panera. I head that way a handful of times per month, and end up stopping maybe four times a year. I don't think it is a draw at all.
Boo Radley
Tue, Feb 12, 2013 : 12:43 p.m.
The Costco on the other side of US 23 from this used to be a draw ... now that Ann Arbor has it's own Costco, I would guess not as many shoppers will drive up there from A2. Ann Arbor also now has Dick's Sporting Goods
DennisP
Tue, Feb 12, 2013 : 12:16 p.m.
It's never the first place that comes to my mind. When I think of that area, the first thing that comes to mind is the mess with the multiple turnabouts that you need to negotiate at Lee Rd. I don't even think of the shops at that location. I couldn't name most of them because I don't glance at the mall when driving there or passing by on US-23 and there's little or nothing compelling to draw my attention from the more immediate task of knowing when to yield, when to merge, when to get out of the lane and when to scoot through. Sorry, but that's the way it is.
Ryan Bowles
Tue, Feb 12, 2013 : 12:06 p.m.
The easiest access to the trails in Island Lake State Rec Area for people from Ann Arbor is offthe parking lot of J C Penneys. Once when I forgot my helmet and bought a new one at the Dick's there. So yes, it is a draw :)