Thriving Alabama retail center secures $42.45M refinancing

MIAMI, Oct. 9, 2024 – JLL Capital Markets announced today that it has secured the $42.45 million refinancing of Vestavia Hills City Center, a 389-736-square-foot open-air, mixed-use lifestyle center in Vestavia Hills, Alabama.

JLL worked on behalf of the borrower, KPR Centers, in arranging the floating-rate loan through an affiliate of MetLife Investment Management.

Vestavia Hills City Center, spanning 28 acres, is a modern, open-air shopping complex with a rich history dating back to 1954. Located at 700 Montgomery Hwy, just 15 minutes south of Downtown Birmingham, Vestavia Hills City Center serves an affluent suburban population. Recently renovated by the Sponsor, the center has undergone multiple revitalizations and expansions across three phases. The center features 66 diverse retailers, service providers and restaurants. Anchored by a high-performing Publix, the center also includes notable tenants such as AMC Theaters, Planet Fitness, PetSupermarket, ShoeStation, Dollar Tree, Panera Bread and Dave's Hot Chicken.

The JLL Capital Markets Debt Advisory team was led by Senior Managing Directors Chris Drew and Gregg Shapiro and Vice President Kelsey Bawcombe.

"Vestavia Hills City Center represents a prime example of a well-positioned retail asset in a thriving market," Drew said. "The center's strong performance, coupled with Birmingham's status as a top 50 metro and its exceptional demographics, made this an attractive opportunity for lenders. With its diverse tenant mix anchored by a high-performing Publix and recent renovations, this property exemplifies the type of quality retail that continues to garner institutional interest in today's market."

JLL Capital Markets is a full-service global provider of capital solutions for real estate investors and occupiers. The firm's in-depth local market and global investor knowledge delivers the best-in-class solutions for clients — whether investment sales and advisory, debt advisory, equity advisory or a recapitalization. The firm has more than 3,000 Capital Markets specialists worldwide with offices in nearly 50 countries.

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KPR is a vertically integrated real estate investment firm specializing in the acquisition of retail and industrial properties in select markets with value creation potential. With in-house capabilities in retail leasing, management and development, KPR focuses on maximizing property value through proactive strategies including leasing, repositioning and redevelopment. Since its establishment in 2009, KPR has expanded its presence across 18 states in key submarkets, building a successful track record of strategic transactions and partnerships with diverse entities including public REITs, institutions, private equity groups and family offices.

MetLife Investment Management is a leading global institutional asset manager, offering tailored solutions across Public Fixed Income, Private Capital and Real Estate asset classes. With a client-centric approach and deep expertise, the firm aims to deliver strong, risk-adjusted returns by constructing customized portfolio solutions that meet long-term investment objectives. Leveraging the broader resources and 150-year history of MetLife, the investment management arm skillfully navigates markets to serve institutional investors effectively.